§ Dr. Gilbertasked the Chancellor of the Exchequer what proportions of the cuts in Government spending announced on 27th October were represented by transfer expenditures, expenditures for Gov- 286W ernment acquisition of existing private assets, and expenditures involving a demand on real resources that will not now take place, respectively; and whether he has made an estimate of the economic effects of each of these separate categories of cuts.
§ Mr. Maurice MacmillanThe total net cut in spending in 1971–72 announced on 27th October is £329 million, to which cuts in transfers, etc., contribute 1.5 per cent. (£5 million), reduction in purchase of existing assets 26.5 per cent. (£87 million) and cuts in expenditure on real resources 72.0 per cent. (£237 million). As to the economic effect of these cuts, I have nothing to add to my right hon. Friend's statement to the House on 27th October.