asked the Chancellor of the Exchequer what would be the approximate cost at today's prices of bringing the national stocks of raw materials and foodstuffs derived from dollar sources up to the level of January, 1950; and whether this would be greater than the increase in our gold and dollar reserves since that date.

It is not possible to separate goods in stock from dollar and non-dollar sources. The fall during 1950 in stocks of raw materials (excluding petroleum), of which substantial proportions are or have been obtained from dollar sources, was about £40 million, valued at end-1950 dollar prices. This would, therefore, be the approximate cost of replacement, assuming supplies were available. As I stated in my reply to the hon. Member on 21st November, 1950, it is not the practice to publish figures relating to stocks of food. Our gold and dollar reserves rose during 1950 by £576 million.

Is the Chancellor aware that the volume of our exports last year increased by 16 per cent., whereas the volume of our retained imports increased by less than 1 per cent.? Does he not think that good stock is really better than cash, and will he not allow the finance to replenish our stocks?

Scarcity of dollars in no way holds up the import of raw materials.

Does my right hon. Friend accept the inference of this Question that our increase of gold and dollars was made by running down the imports of raw materials?

My answer makes it perfectly clear that that was not so.

asked the Chancellor of the Exchequer what steps he proposes to take with regard to the memorandum submitted to him on 20th November, 1950, by the National Union of Manufacturers urging that a public inquiry should be held into the effects on British industry of the present high rates of Estate Duty.

I would refer the hon. Member to the reply I gave to the hon. Member for Chippenham (Mr. Eccles) on 6th February.

Where evidence has been submitted to the effect that high Estate Duty is having a serious effect on production, cannot something be done about it?

I do not think there is any great evidence to that effect, or evidence of any hardship.

asked the Chancellor of the Exchequer how far, at his recent meeting with the special Economic Committee of the Trades Union Congress, he was able to discuss the principle of the rate for the job in industry, particularly in view of the need for women recruits to help with the defence programme.

This is a matter for the two sides of industry, and was therefore not discussed at this meeting.

May I ask my right hon. Friend if he will use such influence as he possesses to have this matter considered, in view of the number of women going into industry; or is it the intention of the Government that they should be regarded as cheap labour?

That is a question to he addressed to my right hon. Friend the Minister of Labour.

asked the Chancellor of the Exchequer by what authority the Inland Revenue refuse to apply the provisions of Section 32 of the Finance Act, 1921, in respect of pensions of over £2.000 per annum.

Where the rules of a superannuation fund provide for the return of contributions in certain contingencies, Section 32 of the Finance Act, 1921, empowers the Commissioners of Inland Revenue to approve the fund, or part of the fund, subject to such conditions as they think proper. In such cases it is the practice of the Commissioners to withhold approval from any part of the fund which provides pensions in excess of £2,000.

In view of the fact that the Inland Revenue are now approving pensions of more than this sum in noncontributory schemes under the 1947 Act, is it not time that the rule was changed to bring it into line with the 1947 Act schemes?

No doubt this matter will be considered by the Tucker Committee on the taxation treatment of pensions on retirement. We should await the recommendations of that Committee.

asked the Chancellor of the Exchequer if he will extend the old persons tobacco concession to blind persons who receive their non-contributory old age pension at an earlier age than the normal.

This is already the case. Any blind person who is an habitual smoker and is in possession of a pension order book entitling him to a non-contributory pension under the Old Age Pensions Act, 1936, may apply for Tobacco Duty relief.

Does that mean that they get it at the age of 40?

At the age of 40, yes.

asked the Chancellor of the Exchequer how many national art galleries and museums in Britain are financially supported by his Department; and how much was the total sum expended in the years 1928. 1938 and 1948.

Ten, Sir. The total expenditure of public funds was £382,000, £443,000 and £687,000 in 1928, 1938 and 1948, respectively. This does not include expenditure by other Departments providing buildings and equipment.

Is my right hon. Friend aware that a considerable part of these sums is provided by provincial citizens who are also subject to taxation, and that a much smaller sum expended in the Provinces on the galleries and museums in those areas would completely transform the very poor service that they tend to have?

That is really quite a different question.

asked the Chancellor of the Exchequer what steps he is taking to simplify the regulations governing the purchase of goods in the shops by visitors from overseas, especially during the period of the Festival of Britain.

I assume that the hon. Member has in mind the arrangements in regard to Purchase Tax. These are at present being carefully reviewed, in preparation for the coming tourist season; but I am not yet in a position to make an announcement.

Is the Chancellor of the Exchequer aware that the present arrangements are disliked by visitors and that in some cases they involve heavy handling fees? Is he also aware that until dollar purchases can be made over the counter by visitors, we shall lose business all the time to other countries who can provide a better service? Will he look into the matter most carefully?

I will certainly look into the matter, but it is a good deal more complicated than the hon. Gentleman's supplementary question suggests.

Will this also apply to the oysters which, it is advertised in the United States, are to be available at the Festival, although they will be supplied in the months of the close season?

Oysters are not subject to Purchase Tax.

asked the Chancellor of the Exchequer if he can give an estimate of the net profit in hard currency derived from the sale of coal to the United States of America since 31st December, 1950, after taking into consideration the dollars expended on the import of coal from the United States of America during that period.

There have been no sales of coal to the U.S.A. since 31st December, 1950.

asked the Chancellor of the Exchequer to state the additional sum of foreign exchange expended through the transhipment at Rotterdam of coal bought by the National Coal Board for importation into this country.

None, Sir.

If no foreign exchange has been expended, how is it that 30s. a ton is being charged for the trans-shipment, which is now somewhere in the order of £40,000, and from what source is the foreign exchange being provided?

According to my information, the present dollar freight rates from the United States to Rotterdam are less than those from the United States to the United Kingdom, and the difference exceeds the guilder expenditure on transshipment.

Has the right hon. Gentleman taken into account the freight rates of Norwegian vessels, because the B.E.A. colliers are not. I understand, sufficient for this traffic?

That does not make the slightest difference to the answer which I have just given. The amount of foreign exchange involved was less.

Is it the right hon. Gentleman's statement that it has been found easier to trans-ship coal to Rotterdam on foreign exchange grounds rather than from America to this country, and, therefore, the extra burden of shipment from Holland to this country has to be borne by the consumer?

I explained that the foreign exchange was less.

Has not the right hon. Gentleman been inflating the dollar cost to this country by including in it demurrage which has been incurred by the dollar vessels waiting here because the ports are not capable of discharging them?

No, Sir.

I am sorry to press this, but would the right hon. Gentleman say if it is now his contention that shipping coal via Rotterdam to this country is cheaper than shipping it direct?

No, Sir, because we have to take into account the sterling expenditure on the shipment from Rotterdam itself.

asked the Chancellor of the Exchequer if he will consider the retention by local authorities of moneys collected for dog licences.

I presume the hon. Member is referring to local authorities in Scotland, where the dog licence duties are paid into the Exchequer. I will examine the hon. Member's suggestion in conjunction with my right hon. Friend the Secretary of State for Scotland.

Will the right hon. Gentleman agree that, if local authorities collect this money, they should be entitled to keep it so that they may discharge such duties as they are required to carry out in connection with the cleaning of streets?

There appears to be some anomaly there.

asked the Chancellor of the Exchequer how many of the new issue of National Savings Certificates have been sold.

During the period 1st to 6th February inclusive sales of the new issue of National Savings Certificates amounted to just under £8 million. This is the latest figure available.

Will my right hon. Friend say how that compares with the sales during a comparable period of the previous type of certificate?

The total savings for the corresponding six days of 1950 were £1,712,000.

Can the right hon. Gentleman tell the House whether there is any evidence that the old issue is being sold to purchase the new issue?

I have no definite evidence on that at present.

asked the Chancellor of the Exchequer whether he will now institute an inquiry into the position of pensioners generally in view of the rising cost of living.

I do not think that a comprehensive inquiry of the kind suggested is called for.

May I ask the Chancellor of the Exchequer two questions? First, does he now recognise the seriousness of the rising cost of living? Secondly, is he prepared to take any action within the next two or three months in order to help the old age pensioners?

Of course, we are aware of the rising cost of living. The question whether we should take any action about old age pensioners raises a wide issue of policy and has to be considered in the light of our total burden so far as expenditure is concerned.

When the right hon. Gentleman says that it raises a wide issue of policy which has to be considered in the light of our total burden, does he mean that it is being considered or that it should be considered?

It is continually under consideration, together with a lot of other things.

When the right hon. Gentleman says that he is not prepared to enter into such a comprehensive inquiry, does that indicate that he would be prepared to institute a more limited inquiry?

No, I do not think any inquiry is necessary here. The facts are known and it is a question of policy.

What is the right hon. Gentleman doing?

Can the right hon. Gentleman hold out any hope that the rise will be checked within the next 12 months?

asked the Chancellor of the Exchequer if he will make a further statement on the composition of the proposed groups to be established to allocate scarce raw materials, as a result of the recent discussions between the United States of America, France and this country.

asked the Chancellor of the Exchequer if he will now make a statement on the setting up of international commodity groups to deal with scarce raw materials.

The House will recall that on 13th January the Governments of the United Kingdom, the United States and France put forward proposals for international action on scarce materials. Following further discussions between the three Governments, the United States Government, acting on behalf of all three, has recently issued invitations to a number of major producing and consuming countries to form the first Standing Commodity Groups—or Committees as they are to be known—in conformity with the proposals of 13th January. A further announcement will be made regarding the membership of the Committees when replies to the invitations have been received.

The materials concerned are: nonferrous metals—copper, zinc and lead in one Committee; molybdenum and tungsten in another; manganese, nickel and cobalt in a third. Separate Committees are also proposed for cotton, wool and sulphur. It is hoped that the first Committee will meet by the end of this month, and that all will be working by the beginning of April. Their functions will be, as already explained, to consider and recommend to Governments the specific action which should be taken in the case of each commodity in order to expand production, increase and conserve supplies and assure their most effective distribution and use among consuming countries.

The Committees will be autonomous bodies and will themselves decide their own procedures. They will report direct to the Governments concerned and not to any existing international organisation or to the central group. But countries who are not members of the Commodity Committees will be able to represent their viewpoints and interests to the Committees.

I very much hope that these arrangements will enable speedy action to be taken internationally to deal with this vital problem.

Having listened to the right hon. Gentleman's explanation of the functions of the proposed committees, may I ask him what actual power they will have to enforce any decision they may take or to see that the recommendations they make for an allocation of a raw material are followed up by the other countries?

They have no power except to make recommendations to Governments.

Will the right hon. Gentleman see that there is added to their terms of reference the question of restricting the export of those raw materials of which we are particularly short?

Yes, Sir, I have no doubt that that will be covered.

Will not the success of the international commodity groups depend on domestic controls, and will my right hon. Friend introduce as soon as possible domestic control of the raw materials which are in short supply?

As far as I am aware, control exists in relation to scarce materials already.

Will the right hon. Gentleman say how far these groups will take into account strategic needs?

I should say that they will certainly take into account strategic needs.

Will the right hon. Gentleman continue to bear in mind, in regard to the non-ferrous metals Committee, the desirability of having as a British member of the Committee someone thoroughly familiar with the British Midlands metal manufacturing industry?

Yes, Sir.

Will my right hon. Friend bear in mind that this question is very urgent because before long there may be a shortage of raw cotton in Lancashire and mills may be unemployed?

We are indeed very well aware of the urgency and importance of this matter.