§ Mr. RookerTo ask the Chancellor of the Exchequer if he will make a statement on the overall effects on the non-oil United Kingdom economy of sterling leaving the European exchange rate mechanism in 1992.
§ Mr. AitkenIt is not possible to assess the precise effects of sterling's departure from the ERM, but during sterling's membership of the ERM inflation fell sharply and the economy began to recover from recession. The Government's policies of securing sustainable growth based on low inflation have built on this foundation, and the economy is now showing strong well-balanced growth, falling unemployment, the lowest inflation for 27 years and a better balance of payments.