§ Mr. Austin Mitchellasked the Chancellor of the Exchequer what was the fall in the effective exchange rate in the 12 months to the end of 1981; and if he will assess the effect this has had on the rate of inflation.
§ Mr. MooreBetween December 1980 and December 1981, the effective exchange rate fell by 9½ per cent. The exchange rate was only one of many factors affecting inflation over the period.