HC Deb 08 March 1984 vol 55 c666W
19. Mr. Hirst

asked the Chancellor of the Exchequer if he is satisfied with the current level of corporate liquidity; and if he will make a statement.

Mr. Lawson

The liquidity position of companies improved substantially between the second halves of 1982 and 1983. The improvement reflects very strong growth in industrial and commercial companies profits which were almost 25 per cent. higher in the first three quarters of 1983 than in the same period a year earlier. The strengthening recovery together with continued gains in labour productivity have been the major factors behind this turnaround in company finances.