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Oral question asked in the House of Lords, by Lord Barnett (Labour). It was answered by Lord Sassoon (Conservative) on Wednesday, 8 June 2011.


Oil Prices

Question
To ask Her Majesty’s Government what plans HM Treasury has to ensure that inflation is reduced and consumers derive benefit when there is a reduction in oil prices.
Answer

My Lords, the independent Monetary Policy Committee of the Bank of England, the MPC, is responsible for maintaining price stability. It sets policy to meet the inflation target in the medium term. The MPC continues to judge that inflation is likely to fall back through 2012 and 2013. Petrol retailing is a competitive market. It is that competition which should see reductions in oil prices passed on to consumers.


Secondary information

Type
Oral question
Reference
728 c260 
Session
2010-12
Oral question type
Lead
Chamber / Committee
House of Lords chamber
Subjects
Inflation Oil Prices Monetary policy
Link
View this Oral question on www.publications.parliament.uk