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wo Lancashire Companies Seek Higher Fares

13th August 1954, Page 37
13th August 1954
Page 37
Page 37, 13th August 1954 — wo Lancashire Companies Seek Higher Fares
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Which of the following most accurately describes the problem?

N enormous increase in wages, an 3. increased number of new vehicles, v equipment and outstanding wage ims," were given as the reasons for application by Lancashire United ansport, Ltd., for higher workmen's es before the North Western .:ensing Authority, last week.

L.U.T. were seeking permission to se 3d, to 11d, day returns by id., and se of Is. and over by 2d., with prortionate increases in weekly returns. was also proposed to increase certain iinary day returns.

The Authority also considered, on half of the Ministry of Transport, an plication by South Lancashire Transrt, Ltd., to raise workmen's fares on . trolleybus services in the company's :701, and for similar increases on the Ilton-Blackhorse (Farnworth) and ilton-Walkden services.

Supporting the L.U.T. application, iich, coupled with that of the S.L.T., is expected to increase the joint Jenne by £45,000, Mr. T. Lloyd, traffic perintendent, said there had been a crease in ordinary traffic during the enings, which was attributed to evision.

The directors, he said, might consider z, possibility of replacing trolleybuses motorbuses, and if that was necesry they would have to have sufficient ierves in hand. For the S.L.T., Mr. W. Blackhurst said that the company's managing director claimed that the two companies together probably carried more workmen in proportion to their full traffic than any other transport company in the country.

Both companies, he said, had made concessions to workpeople in excess of the majority of similar companies. They permitted workmen's fares to be obtained up to 8.30 a.m. when the statutory obligation was only until 8 a.m., and they allowed shift workers to obtain workmen's fares on production of a pass.

S.L.T., said Mr. Blackhurst, had paid a dividend of £15,000 over the past year, and that amounted to only 1.3 per cent. on the capital employed in the company and 2 per cent. of the company's nominal capital.

That dividend was paid to L.U.T., thereby increasing the revenue of that company. L.U.T. had paid a dividend of 25 per cent., with bonus, on its nominal capital, but the dividend was a mere 5.5 per cent. of the actual capital employed, and that was considered to be an inadequate figure for a trading concern of its kind.

Decision was reserved on the application of L.U.T. The Authority said that a report on the S.L.T. application would he sent to the Ministry.

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Organisations: Ministry of Transport

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