MEASURING THE COST OF LIVING

Early day motion 890, tabled 18 March 2015 by Frank Doran (Labour). Signed by 47 members.

That this House believes that the Retail Price Index (RPI) remains the most accurate measure of the rise in the cost of living faced by UK workers; notes that over many decades the majority of pay bargaining in the UK has traditionally taken the RPI as its main reference point but that the Johnson Review poses a major threat to the continued publication of the RPI; further believes that given the alternative Consumer Prices Index (CPI) and CPIH measures run around one per cent lower than the RPI, this would deal further blows to the pay packets of workers who have been experiencing years of deep declines in the value of their wages; further notes that a rigorous study of inflation by Dr Mark Courtney which sets out why the coverage of the RPI is most relevant to the costs faced by workers; and further believes that the importance of accurate measurement is central to recent proposals calling for the introduction of an independent Living Standards Index to measure the success of Government in dealing with the cost of living.

Signatures by party: Labour 43, Green 1, Liberal Democrat 1, Respect 1, Social Democratic and Labour Party 1.