§ Mr. Malcolm BruceTo ask the Chancellor of the Exchequer (1) what plans he has to reduce the 305W Government's inflation target of 1 to 4 per cent for the retail prices index excluding mortgage payments in RPIX;
(2) what is his target for the underlying rate of inflation, RPIX, after the current Parliament; and what plans he has to specify a narrow sub-range for this target.
§ Mr. Kenneth ClarkeThe Government's aim is to keep underlying inflation, as measured by the RPI excluding mortgage interest payments, in the range 1 to 4 per cent., and to bring it down in the lower half of this range by the end of the present Parliament.
The Government remain committed to keeping inflation permanently low.
The target for after the current Parliament will be announced in due course.