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• B.M.M.0. Refused a Separate • Scale for Country Bus Services

22nd July 1960, Page 43
22nd July 1960
Page 43
Page 43, 22nd July 1960 — • B.M.M.0. Refused a Separate • Scale for Country Bus Services
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Which of the following most accurately describes the problem?

IN the face of a possible solution of the problem of rural bus operation being found by the Jack Committee, the separate fares scale for rural services, sought by the Birmingham and Midland Motor Omnibus Co., Ltd. (The Commercial Motor, last week) has been refused. In a reserved decision, issued jointly last week, the East and West Midland Traffic Commissioners declared that since the Jack Committee might arrive at a solution which could be applied on a national basis they would not authorize a special scale for rural fares.

The Commissioners concluded that additional revenue sought was, in the main, required, but they were concerned about the application to introduce separate mileage scales for urban and rural fares. They aceepted the company's argument that rural services were almost completely unremunerative and that they had for many years been cross-subsidized mainly by urban services. They decided that the urban• scale should apply to all fares, and with that qualification the application was granted

in full. The effect would be that the company's expected revenue as a result of the revision, would be reduced by some 07,000.

It was decided that the protection afforded to the Birmingham Transport Department should be generally maintained but not increased. Fares for journeys wholly within the boundary of the city would remain unchanged unless the mileage justified an increase on the basis of the present grant.

The effective date of the revised fares is yet to be announced. The Commissioners noted that the general application did not seek to meet the full amount of additional expenditure which resulted from wage increases. Revised agreements with certain local authorities would give the company additional revenue of £105,000 per year.

In the cases of Dudley and Worcester the old arrangement,whereby the company received an amount to operate services and revenue went to the authorities, had been displaced. In future the company would take all revenue and pay the authorities a fixed sum. In the cases of Smethwick, Oldbury, Rowley Regis and Tipton, the amounts to be paid tc the company had been increased.


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