asked the Secretary of State for Scotland what was the rate of increase of industrial production in 1961; and how this figure compares with that for England and Wales.

According to the present provisional figures industrial production in 1961 exceeded that of 1960 by almost two per cent. in Scotland and by just over 1 per cent. in the United Kingdom as a whole.

Does the hon. Gentleman realise that the record of industrial productivity in Scotland is rather worse than that in England and Wales, and if it should happen that the rate of growth in Scotland is less than 2½ per cent. will the Chancellor's policy on wages still apply? In other words, if industrial productivity in Scotland rises by 1 per cent. will the workers of Scotland still get their 2½ per cent. increase in wages?

We should obviously like to see a still more rapid expansion of industrial production in Scotland, but the figures for last year showed that Scotland did substantially better than the United Kingdom as a whole.

But the overall figure was very poor, and if it is less than 2½ per cent. do the Government then intend to tie the wages to the low productivity which is the result of the Government's policy?

Answer.

Clearly, we should like the industrial productivity to increase still further, but it is a matter of satisfaction in Scotland, I think, that during the last year our figures were better than the United Kingdom total.