HC Deb 21 February 1979 vol 963 c177W
Mr. Gould

asked the Minister of Agriculture, Fisheries and Food what would be the effect on (a) the retail prices of butter, cheese, beef, bread, and sugar, (b) the average level of food prices and (c) the cost of food per week of a family of three of (i) a 5 per cent. devaluation of the green pound (ii) a devaluation of the green pound to the average Common Market rate so as to eliminate United Kingdom monetary compensatory amounts, and (iii) a harmonisation of

ESTIMATED RETAIL FOOD PRICE EFFECTS OF CERTAIN GREEN POUND CHANGES*
(i) (ii) (iii)
5 per cent. devaluation of the green pound Full, 22.9 per cent. devaluation of the green pound Harmonisation of United Kingdom support prices with those existing now in Germany
Butter, p lb. 3½ (+5%) 19½ (+30%) 30 (+46%)
Cheese, p lb. 3 (+4%) 17 (+23%) 25 (+35%)
Beef, p lb 2 (+2%) 11 (+8%) 17 (+12%)
Bread, p loaf ⅓ (+1½%) 2 (+74%) 3 (+11%)
Sugar, p kg. 1½ (+4%) 7½ (+25%) 11 (+35%)
Overall effect on food prices up to1% +5−6% +8−9%
Approximate additional food cost for a family of 3 (per week) 17p £1.00 £1.50
*The estimates are based on the existing pattern of food consumption and the percentage increases on the present level of food prices.
This could be achieved by a full devaluation of the green pound plus common price increases of about 12 per cent.

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