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Budget : Some Bus Operators Need Higher Fares, Others Can Manage

17th April 1959, Page 41
17th April 1959
Page 41
Page 41, 17th April 1959 — Budget : Some Bus Operators Need Higher Fares, Others Can Manage
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Which of the following most accurately describes the problem?

THERE has been a mixed reaction from the bus industry to the Budget. Some operators are lodging fare applications which have been delayed pending the Chancellor's decisions, whilst others believe that the Excise duty concession will enable them to stave off immediate increases. On the whole, there appears general disappointment that no cut in the fuel tax was forthcoming, although the reduction in duty for buses has been warmly welcomed.

The Trent Motor Traction Co., Ltd.,

• are putting forward a fares application to the East Midland Traffic Commissioners to cover wage increases.. Their general manager, Mr. W. Leese, said the company were extremely disappointed that the fuel tax was to remain anchaaged, for the reduction in Excise ditty would not cover

increased costs. "

" Since last October " we have been carrying the burden. of wage increases

• amounting to .civee £55,000 a year and

• .an appiieation to increase fares was • delayed to await the result of the Budget," he said. '" We have made it clear on more than one occasion that the absence of a concession .of fuel tax would make an upWard adjustment in fares nevi table."

Barton Undecided

One of Trent's major . competitors, Barton Transport, Ltd., are still undecided about their next prove. Mi.:F..Broomfield, secretary, told The .Commercial Motor that they were disaprioirited by the Budget, but the Excise . duty cut "might prevent an immediate .aPplication. . .

. . . . . .

. Nottingham .Transport Committee think the licensing concession, will prevent a fare increase Which' was planned for June. Ald. S. P. Hill, chairman, said the reduction would Save the undertaking "many thousands of ,pounds.".

Stratford Blue Motors, . Ltd., are amending an . application already sub: rnitted to the Commissioners, because they will save £1,919 a year . in Excise duty. Originally they had asked for increases on a mileage scale varying from -I-d. to 2d. .

Also amending an application are the Birmingham and Midland Motor Omnibus Co., Ltd., whose operating costs will be reduced by £90,000 a year.

Ribble Save 06,000 An official of Ribble Motor Services, Ltd., said the Budget cuts would mean a saving of about £56,000 a year and it might now be posithle to shelve the introduction of increased express fares authorized in March.

" The express service fares have already been increased in higher proportion to other fares," he said, "and these should be considered first. Secondly, the saving which the Budget gives would just about cover what we estimate the approved increase in express fares would have , produced," Mr. R. G. James, general manager of the East Kent Road Car Co., Ltd., welcomed the cut in duty, pointing out that his company would save about £25,000 a year, which would be a considerable

help towards maintaining present levels a fares and services, • He was sorry that there had been no fuel tax reduction, however, because wage awards were costing• East Kent £50,000 a year, and so. far this increase had not been reflected in fares or services. '

East Yorkshire Motor Services, Ltd., said in a statement that the Chancellor's concession was snria.11-;---it would. save the Company only £6,000 in' the present year. However, the result would be some slight improvement in rural .services and the company were planning to meet the local authorities in their area immediately to decide the restoration of routes.

No Increases Needed Leicester Transport Committee, who had been contemplating further serVice cuts, believe that the •concession will allow them to carry on unchanged. But the Lincolnshire Road Car Co., Ltd., are going ahead with their economy plans. Mr. R. F. Bushrod, general' manager, Pointed out that losses would not be Covered by the reduction.

Md. C. E. Snook, leader of Lincoln City Council, -described the concession as "a drop in the ocean in face of a 160,000 deficit." On the other hand, Mr. J; T. Robinson, general manager of the United Counties Omnibus Co.; Ltd., feels that a saving of £20,000 a year will be a useful contribution towards cutting the company's running costs.

Application Withdrawn The Bristol Omnibus Co,, Ltd., who will benefit by £64,000, have withdrawn a fares application submitted to the Western Commissioners and will modify it. The application was designed to yield an extra £65,000 a year.

For Birmingham Corporation the duty cut will result in a saving of £100,000 in a full year, according to Aid. Leonard Coffey, chairman of the transport committee, Compared to this amount, however, fuel duty was costing them £700,000, he said. In addition, income for the past six months was £50,000 down on the estimate.

Coventry Corporation will save £20,000 through the concession.

TRAFFIC OFFICERS?

N° proposal from a police authority to establish a force of civilian traffic officers, which would release the constabulary to concentrate more upon criminal and other matters, has been made to Mr. R. A. Butler. Home Secretary, who said in the House of Commons last Week that he would be "very interested" to hear of any suggestions from local police forces.