HC Deb 17 June 1975 vol 893 cc403-4W
Mr. Tebbit

asked the Chancellor of the Exchequer if the rate of inflation is increasing or decreasing; and if he remains satisfied by the progress towards reducing the rate of inflation towards his estimate made in September 1974 of what could be achieved, namely an annual rate of less than 10 per cent. by the end of 1975.

Mr. Dell

The rate of inflation has been increasing over past months but there are good prospects that this trend will be reversed in the second half of 1975 and that the underlying annual rate will fall to between 12 per cent. and 16 per cent. Our ability to achieve any further reduction in the inflation rate will largely depend on our success in bringing wage and salary increases below their present level as we enter the next pay round.

Mr. Tebbit

asked the Chancellor of the Exchequer what is the current rate of inflation expressed as an annual rate based upon the most recent three months' statistics; and what was the annual rate of inflation based upon a similar calculation on 10th October 1974.

Mr. Dell

The rate of increase in the retail prices index in the three months to May, expressed at an annual rate, is 53.1 per cent. A similar calculation made on 10th October 1974 would have shown an annual rate of inflation of 8.4 per cent.

Mr. Tebbit

asked the Chancellor of the Exchequer when the monthly rate of inflation last exceeded the May figure.

Mr. Dell

The rate of inflation last exceeded the figure of 4.2 per cent. in one month in September 1939.

Mr. Tebbit

asked the Chancellor of the Exchequer when the rate of inflation last exceeded the latest three-month figure.

Mr. Dell

The rate of inflation last exceeded the figure of 10.3 per cent. in a three-month period in the three months to December 1939.

Mr. Tebbit

asked the Chancellor of the Exchequer when the rate of inflation last exceeded the latest 12-month figure

Mr. Dell

The annual rate of inflation last exceeded the figure of 25 per cent in one year in the year to November 1920.