§ Mr. GregoryTo ask the Chancellor of the Exchequer (1) how much warning was given to United Kingdom industry of the ending of the quarterly sales inquiry;
(2) what assessment he has made of the value of short-term production statistics to British industry;
609W(3) what representations he has received from British industry calling for comprehensive replacement of the quarterly sales inquiry statistics;
(4) what information he possesses on differences in the official collection of detailed short-term production statistics in the United Kingdom and in other Group of Seven countries;
(5) what account was taken of the policies developed by the statistical office of the European Community in the decision made on the future of the quarterly sales inquiry;
(6) whether he will now undertake (a) an assessment of the burden of form filling faced by British industry and (b) a review of the decision to curtail the quarterly sales inquiry.
§ Mr. LilleyThe outcome of the review of DTI statistics was announced by DTI Ministers on 10 May 1989. The main recommendations included a reduction in the volume of product sales statistics collected in official inquiries and released in the "Business Monitor" series. Most quarterly product inquiries were converted to an annual basis, and the number of headings for which information was collected was substantially reduced. The review also recommended a strengthening of the monthly sales inquiry used for compiling the index of production. Following enlargement of the Central Statistical Office in July 1989 to incorporate statistical inquiry work previously carried out by DTI, ministerial responsibility for implementing the review recommendations on product statistics fell to Treasury Ministers.
The last of the full quarterly sales inquiries related to the second quarter of 1989. Announcements explaining this change were included in the "Business Monitors" appearing during June and July 1989, and a detailed article on the impact of the review appeared in British Business on 14 July 1989. Subsequently, explanatory material was sent to 82 interested trade associations. Central Statistical Office staff are aware of 22 complaints relating to the loss of quarterly product statistics. Most of these concern the loss of data for particular industries or individual products.
The Government recognise the value of accurate and timely product statistics to both business men and official users. There is, however, a need to strike a balance between benefits to users of the information and the costs to business of completing statistical forms. The Government will ensure that statistical form filling is kept to a minimum, consistent with the information needs of government and business. Any unnecessary inquiries will be discontinued.
International comparisons are difficult to draw due to differences in institutional structures, roles played by trade bodies, periodicity of inquiries, and so on. The following estimates of product counts for which sales or production information is collected are based on work carried out by the West German Statistical Office in 1987: UK 4,500 (since reduced to 3,000), France 10,000, West Germany 6,400, Italy 1,000, US 11,000 and Canada 3,800.
When the review of DTI statistics was carried out, proposals for developments in EC product statistics, known as PRODCOM, were at an early stage. The first detailed statement of Eurostat proposals is expected in the form of a draft regulation later this year. Views of UK business men and trade bodies on the PRODCOM proposals are being sought to ensure that any resulting scheme takes account of UK industrial needs. Key features 610W of the scheme, including periodicity, variables to be collected, panel sizes and so on, are not yet known. Meanwhile, it would be premature to launch further assessments in this area.