FEAR OF INCREASE

Otago Daily Times, Issue 26579, 30 September 1947, Page 5

FEAR OF INCREASE

INFLATION IN BRITAIN MR ATTLEE APPEALS TO WORKERS N.Z.P.A. Special Correspondent LONDON, Sept. 28. One of the many problems troubling Britain at the moment is the fear of a sharp increase in inflation. Mr Attlee has appealed to the workers not to press claims for higher wages at this particular time, and proposals for checking inflation are reported to include an autumn Budget, which will increase indirect taxation, and a cut in food subsidies. The position is causing sharp uneasiness among trade unions, and they have pressed for a meeting wth Mr Attlee. This is to take place next Wednesday. It is stated that there are two particular points the trade unions wish to discuss with the Prime Minister. The first is whether the Government is proposing more direct intervention in wage negotiations. This follows a letter written by Mr G. A. Isaacs, Minister of Labour, reminding Joint Industrial Councils of Mr Attlee’s appeal. They also want Mr Attlee to consider the trade union views, v when possible measures to combat inflation are under review. It is commented that unless some satisfactory agreement can be reached between Cabinet and Trades Union Congress leaders, the success of the plan for Britain’s economic recovery may be jeopardised.