§ Mr. Sedgemoreasked the Secretary of State for Prices and Consumer Protection if he will make a statement on the recent Price Commission's report that the commission is unable to express any view on the movement in profit margins; and what action he intends to take.
§ Mr. MaclennanThe Price Commission has stated that certain changes made to the Price Code last August make it impossible to continue to publish tables comparing the average profit margins of 495W large companies in the latest quarter with average profit margin reference levels. It also stated that it would continue to try to rebuild the statistics. I understand and regret the difficulties, but I believe that it would have been wrong to have refrained from necessary modifications to the Price Code merely on the grounds of disruption to a statistical series.
§ Mr. Sedgemoreasked the Secretary of State for Prices and Consumer Protection whether he will now introduce a price control system which effectively controls profits and relates price increases to profits.
§ Mr. MaclennanI do not intend to make major changes to the Price Code before the present price control powers expire on 31st July. I am considering what form prices policy should take thereafter.