§ Mr. Thorntonasked the Chancellor of the Exchequer if he will give figures at constant prices for each of the last 10 years for the rate of inflation in the United Kingdom, France, West Germany and Italy.
§ Mr. Biffen[pursuant to his reply, 12 December 1980, c. 823]: The rate of inflation from 1971 onwards, as measured by the consumer price index, for each of the countries specified is shown in the following table:
Consumer price index*—all goods and services Percentages Change on year earlier United Kingdom France West Germany Italy Annual averages: 1971 9.4 5.3 5.3 4.8 1972 7.1 6.2 5.5 5.7 1973 9.2 7.4 6.9 10.8 1974 16.1 13.7 7.0 19.1 1975 24.2 11.7 6.0 17.0 1976 16.5 9.6 4.5 16.8 1977 15.8 9.4 3.7 18.4 1978 8.3 9.1 2.7 12.1 1979 13.4 10.7 4.1 14.8 Quarterly averages:1980 Q1–Q3 18.9 13.5 5.6 21.3 Q3 16.4 13.6 5.4 21.5 Source: OECD Main Economic Indicators.
*Equivalent to the United Kingdom General index of retail prices—all items.
An alternative measure of inflation is provided by the implied deflator derived from the current and constant market price estimates of gross domestic product. This is a measure of domestically generated inflation over the whole economy, including the effects of indirect taxes. Annual changes in the index numbers for this measure up to 1978 for the four countries are given in "National Accounts ESA—Aggregates 1960–78" page 156, published by the Statistical Office of the European Communities. Corresponding changes between 1978 and 1979 are as follows:
Change in implied price deflator of gross domestic product at market prices between 1978 and 1979 Percentages United Kingdom +14.6 France +10.4 West Germany +3.9 Italy +15.1