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Higher bus fares likely but not yet from SU
Page 26
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An undertaking not to increase fares for at least six months other than in exceptional circumstances was given last week by the Scottish Bus Group when it made its third application this year to put up fares. Mr Ian Irwin, executive director, said the undertaking had been agreed on reluctantly after talks with Mr Bruce MilIan, Minister of State, Scottish Office.
A decision on the application for a 10 per cent increase on all fares of 42p and over and the withdrawal of return fares where there is an existing single fare, was deferred. Mr A. B. Birnie, chairman of the Traffic Commissioners, said they would give their decision next week.
The group applied for increases on April 3 and July 25. On the last occasion it said that a third application was being formulated because of threshold wage agreements and other costs. Included in last week's application was a five per cent increase on scholars' tickets. It was also proposed that express services to England should be increased by 50p on single fares.
The group also asked for fares increases conditional on threshold payments being triggered by the cost of living in October. If the threshold payment was 40p, a 3p increase on 26-29p fares was proposed and 4p on fares between 33 and 40p. If the threshold payment was more than 40p the increases required would be proportionately larger. The increases would take effect from October 27.
Mr Irwin said the group gave the undertaking not to ask for further increased fares for six months provided the full application was granted. The proposed increases represented as average of four per cent and would bring in an additional £1,980,000. Expenditure had increased by £1,962,000 in a full yea' because of threshold agreements, wages and salaries settlements, tyre mileage costs, and rising costs.
Replying to Mr W. A. Nimmo Smith. for local authority objectors, Mr Irwin said he had reluctantly agreed to freeze fares increases for six months. "We were unwilling to go beyond three months but we were persuaded to go for six months," he said.