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" Flood " of Applications for Higher Fares Begins

16th April 1954, Page 33
16th April 1954
Page 33
Page 33, 16th April 1954 — " Flood " of Applications for Higher Fares Begins
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Which of the following most accurately describes the problem?

THE Chancellor of the Exchequer's failure to reduce the fuel tax in I the Budget " must inevitably result in a flood of applications for increased bus fares throughout the country," said the Public Transport Association in a statement issued last week.

This appears to echo the general feeling of the industry, and already a number of operators who were holding back until they had heard whether there was to he some relief has announced the intention to apply for increases at an early date.

The Birmingham and Midland Motor Omnibus Co., Ltd„ are among those who have announced their intention to seek permission to increase their fares as a direct result of the Budget_ Mr. D. M. Sinclair, general manager, said last week: "This move is entirely due to the failure of the Chancellor of the Exchequer to reduce the 2s. 6d. a gallon tax on derv." He added, "Had the Chancellor seen fit to reduce the tax by 6d. a gallon the company would not have been forced to apply for the fare increases.

"Held Our Hand" "We have had wage increases recently which have cost approximately £200,000 a year, and we have held our hand in the hope that the Chancellor would reduce the exorbitant tax, which costs our company about 1850,000 a year."

The Public Transport Association said in a statement that the Chancellor had " missed a golden opportunity to claim that, at a trifling cost to the national budget, he had put a stop to bus-fare increases."

Mr. Peter Yorke, director of the British Omnibus Companies Public Relations Committee, said: "Operators all over the country have been holding back applications for fare increases caused by rising costs, including wages. pending a hoped-for remission. The Chancellor must take full responsibility for the increases in fares, which are now unavoidable."

No Option

Trent Motor Traction Co., Ltd., who `lad deferred their application for higher 'ares until after the Budget, now have ' no option but to seek permission to ncrease fares in order to meet the burten of the recent increase in our wages till of 5-45,000 a year," according to he general manager of the undertaking, Vtr. J. Forster.

When asked for their reaction, Mr. Broomfield, secretary of Barton rransport, Ltd., said: "We have not lefinitely decided, but I think we shall iave to apply for another increase in ares."

Strong criticism came from Mr. 7. W. Baroth, general manager of afford Transport Department.

Stating that there would be no mediate application for higher fares, Ir. A. F. Neal, general manager of lanchester Transport Department, lid: "It is going to make things aremely difficult. We are certain to finish up with a small deficit." They would have to reconsider the position in a few months.

Proposals that single fares be increased by Id. and returns by Id., made by Southdown Motor Services, Ltd., arc being heard on Tuesday. The application was to have been heard last September, but was deferred until negotiations for higher wages were completed. It is now known that these will cost the company £70,000 a year.

The Western Licensing Authority has approved a 10-per-cent. increase in the price of season tickets issued by the Southern National Omnibus Co., Ltd., and the Western National Omnibus Co., IA.. Consequent on the recent wage awards, the two companies asked for a 15-per-cent. increase, but the Authority considered that it would place an undue burden on season-ticket users, Alterations in the fiveand six-day limited-journey tickets have also been approved, together with the abolition of return fares less than Is.


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