§ Lord ORR-EWINGasked Her Majesty's Government:
On what authority the Treasury have announced that dividend increases must be reduced from 12½ per cent. to 10 per cent. with effect from 1st July—the date of the Chancellor's announcement.
§ Lord JACQUESThe Counter-Inflation Act 1973 gives the Treasury powers to restrict the declaration or payment of ordinary dividends by companies incorporated in the United Kingdom. The new limit of 10 per cent. on dividend increases came into effect on 2nd July 1975, the day after the Chancellor's statement in the House of Commons, under an Order made (and laid before both Houses of Parliament) on 1st July (Statutory Instrument No. 1081 of 1975).
House adjourned at one minute before seven o'clock.