CHOICE FOR MIDLAND RED
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BIRMINGHAM and Midland Motor Omnibus Co. Ltd., which applied for its second fares increase in two years at Birmingham on Monday and Tuesday, was advised by Chairman of West Midland traffic commissioners, Mr. John Else, to introduce one-man operated buses as soon as possible as a further economy.
Mr. Else said: "Year after year the Commissioners have been told by your company and others that you hope to introduce one-man operation".
There had been, he said, no appreciable increase in the numbers and if one-man buses were means of saving or holding fares, every endeavour should be made to bring them in.
After hearing evidence and representations from some of the 80 objectors, including local authorities, trades unions and political organizations, Mr. Else said the Commissioners were not prepared to grant the application in full.
He gave the company seven days to consider two alternatives. The Commissioners would be prepared to grant the revised fare structure that would produce a profit figure of 8 per cent, rather than the 10 per cent sought. Considerable attention should be given, Mr. Else requested, to keep ing the increases on shorter journeys to the minimum.
On the other hand, if the company planned to take the case to appeal, the Commissioners would formally refuse it, but grant a dispensation in the terms already offered.
Several objectors challenged the dividend paid to Midland Red shareholders. They claimed it hardly seemed reasonable to expect the public to pay high rates to maintain the dividends. Petitions containing 7,000 signatures were handed to the Commissioners.
Mr. E. S. Fay, for the company, said the position was approaching one in which the company would have to consider whether it could go on. "The position is being reached where, unless the company can improve its finances, it will have to consider its status as a commercial concern", he said.
Midland Red is seeking fares increases ranging from Id. to 6d. to bring in an estimated net revenue of £1,103,668. It was stated that the company would also apply to increase fares on express services later this year.