§ Mr. Gouldasked the Chancellor of the Exchequer what is the current annual rate of inflation; and what proportionate contribution is made to that rate by (a) increased unit labour costs (b) increased costs of imported raw materials and other imports (c) increased costs of components and other materials used by industry, reflecting inflationary pressures already in the economy and (d) other factors.
§ Mr. Robert SheldonThe Retail Price Index rose by 14.7 per cent. over the 12 months to October. It is extremely difficult to quantify the exact contribution made by individual components. But, as a very rough estimate, increased unit labour costs may have contributed about 40 per cent. of total inflation over the period; increased import costs about 40 per cent.; and other factors the remaining 20 per cent. The cost increases faced by industry are a compound of past increases in all these categories and are not separately identifiable.