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JANUS WRITES B.R.S. is doing well enough,

26th April 1963, Page 52
26th April 1963
Page 52
Page 52, 26th April 1963 — JANUS WRITES B.R.S. is doing well enough,
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Which of the following most accurately describes the problem?

but is not qualified to run the opposition into the ground . • •

pLANNERS seeking for various reasons to make drastic changes in the road transport industry are almost bound at some stage to define their attitude towards British Road Services. The existence of a nationalized enclave within a predominantly free enterprise industry has to be given some significance, if only because whatever new system the particular planner is peddling will involve either a reduction or an increase in the scope and the size of the B.R.S. fleet. At one extreme, the champions of free enterprise suggest that the organization should be completely liquidated, and maintain that it is inefficient, uneconomic and unloved. At the other extreme, the rabid nationalizers uphold the case for a road haulage monopoly by depicting B.R.S. as more efficient and more virtuous than the independent competitors.

Between the two ends of the scale are a number of gradations. A recent example is to be found in the report of a varied group of experts published in Socialist Commentary. Their studies led them to the conclusion that there was no need for licensing or for the complete renationalization of long-distance road haulage. In fairness, they recommended competition on an equal footing, and partly justified this strangely un-Socialist doctrine by proclaiming their opinion that "a considerable advantage should rest with the nationalized B.R.S.". Like the railways, the report continued, B.R.S. would be able to offer a frequent, regular, reliable service and a wide variety of specialized facilities.

This seems very like the attitude of the sportsmen who ask only that the best man should win provided he is on their side. Is there any evidence that B.R.S. would be able to live up to the onerous trust placed in it? Certainly, the report gives no hint that B.R.S. was asked its opinion before being elevated to the status of inevitable destroyer, and so far as one can tell B.R.S. would have no enthusiasm for a policy that meant the abolition of the licensing system. Its own advertising naturally stresses the so-called " advantages " enumerated in the report, but does not boast immoderately of a willingness to take on all corners.

A LUDICROUS SITUATION

Part of the bane of introducing party politics into transport lies in a ludicrous situation such as this, where a covey of acknowledged and by no means contemptible experts is driven to the point of making for B.R.S. claims it would not be prepared to make for itself. Practical evidence is readily available for a proper comparison between B.R.S. and other hauliers. They have been competing with each other on level terms for something like a decade, and the verdict so far appears to be that both are appreciated by the customer, that possibly they supplement each other, and that, if experience is any guide, neither can point to any proven superiority.

Presented in this way, the facts might lead to the conclusion that there is no need for drastic interference with C' road haulage. This the experts seem unwilling to accept. They continue to assume that a comprehensive nationalized organization must by definition be the best, and they press the argument home by introducing other considerations, such as vehicle maintenance, road accidents, the keeping of records and other legal observances. The assertion is that, in these fields at least, B.R.S. is bound to have the better record, and it may be a comforting thought that in any case there are not enough statistics to refute the allegation.

By and large, this is true, but is becoming less so by degrees. The Ministry of Transport surveys are beginning to provide an outline map of the roati haulage industry. Unfortunately, they no longer make a distinction between nationalized and independent vehicles. The reports of the British Transport Commission help only to a limited extent. For example, they show that in 1961 the volume of B.R.S. traffic was 16 m. tons, an average of about 20 tons per vehicle per week, whereas the traffic carried by all Alicensed vehicles in the Ministry's sample week in April, 1962, was just over 4 m. tons, an average of 46 tons per vehicle. B.R.S. vehicle mileage in the year was nearly 300 m., a weekly Vehicle average of about 370 miles, as compared with the general A licence average of 436 miles.

From these figures alone, showing that the average vehicle on A licence under free enterprise carries more than twice the tonnage and covers a substantially greater mileage than B.R.S. vehicles, it might be deduced that free enterprise is by far the more efficient. Such a deduction would be unsound in that it not only ignores the type of traffic carried, but is made in ignorance of the figures for tonmileage in respect of B.R.S. If available, they would provide a less distorted, although still not completely accurate, picture.

The B.T.C. reports show the financial results of B.R.S. in somewhat more detail, while failing to indicate what amount should be added to the costs to represent the share of B.R.S. in the Commission's central charges. All the same, net receipts of £4 m. in 1961, on a turnover of £58 m., offer a reasonable basis if there were anything with which to compare them. The financial results of the activities of hauliers are largely unknown. One exception is the Transport Development Group, whose report for 1961 shows profit before taxation of £611,400 on a fleet of 1,500 vehicles, less than one-tenth of the number operated by BR .S.

Here, again, the comparison cannot be regarded as conclusive. But even the scanty information ready to hand on operating and financial results is sufficient for a tentative assumption that B.R.S. is doing well enough, but is not qualified to run the opposition into the ground if all controls were lifted. A conclusion on the same lines would very likely be reached if there were any information at all about the responsibility of the various types of operator and licence holder for the wide range of offences concerning which it seems to be the fashion to make a blanket accusation against the road haulage industry and to exclude B.R.S.