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Eastern Counties Thinks Again

27th June 1952, Page 55
27th June 1952
Page 55
Page 55, 27th June 1952 — Eastern Counties Thinks Again
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Which of the following most accurately describes the problem?

AFTER a two-day hearing, Mr. W. P. S.. Ormond, the Eastern Licensing Authority, adjourned until to-day, further consideration of• the applications of the Eastern Counties Omnibus Co., Ltd., and the Norwich Omnibus Co., Ltd., for' higher fares. The concerns had asked for increases estimated to augment revenue by

£194,819 a year.

The Authority declared that he would be prepared to grant increases to augment revenue by £120,000 a year, details of which would be presented at to-day's hearing. Summing up, Mr. Ormond declared that previous estimates of revenue by the applicants had been uncertain, and that in the public interest, he could not overlook the presence in the applicants' balance sheet of an abnormally large sum on current account which was unfruitful.

There were 40 objectors to the applications, represented by Mr. M. R. Nichols, who suggested that although in 1950 and 1951 the applicants had applied for higher charges which, had produced £170,000 more than estimated, there was no reason why they should not come before the Licensing Authority again asking for higher charges to meet increasing costs.

Eastern National had under-estimated revenue and. over-estimated expenditure and at the last application the Authority had declared that the money transferred to reserve account should be expended before higher fares were requested. The company needed another £125,000 a year not £195,000 as proposed.

Mr. W. G. Hall, traffic manager. of Eastern Counties, said that maintenance

• costs had gone up by £26,000 in the last year. About one-third of the £69,339 yield on the increases on single fares would accrue from the additional id. proposed for 2d. fares. About £24,500 extra would be paid by people who, if the application succeeded, would no longer be able to buy workmen's tickets after 8 a.m.

£24,000 Loss Mr. H. T. McPhail, an independent witness for the applicants, declared that without the increases proposed, the companies would incur a net loss of £24,000 in 1952. Called for the objectors, Mr. S. Hill declared that if the applications were granted, the total increased fare yield since 1950 would be £438,000—more than the estimated increase of costs of £357.000 which the companies had incurred since 1950. He also believed that the higher fares would produce more than estimated— £250,000 instead of £195,000.

Decision on the applications of Southern National Omnibus Co., Ltd., and 'Western National Omnibus Co., Ltd., for increased fares was deferred last week by the Western Licensing Authority after a three-day hearing.

It was proposed to raise the cost of tickets between ld. and 5d. by id., those over 2s. Ild, by from 2d. to 6d., and to establish the return fares on a miniMum of 9d. If granted, these increases would augment revenue so as to produce a surplus of £63,000, compared WIth a loss of £56,000 this year, if the increases were refused. • For the local-.authority, objectors, Mr. A. C. Caffin said that the method of increasing rates was unreasonable because many fares were already excessive in relation te• mileage.

A reduction in charges was granted to Mr. E. Hartness, Penrith, by the Northern Licensing Authority last week. The applicant declared that an "onslaught of private-hire competition" among coach operators to Penrith had made it necessary for him to reduce his charges so as to offer competition. Fares between Penrith, Blackpool and Morecambe were affected. Reductions of Is. 9d. to 25. on return fares were authorized.

In the North-western Traffic Area, Viking Motors (Preston), Ltd., recently applied for modified charges. The proposed increases were stated to average less than Id. for single fares and less than ld. for return fares.

Accrington Corporation's application to raise the minimum adult single fare from Id, to lid., to add id. to all other single fares and to adjust concession fares, has now been heard by the Northwestern Licensing Authority. An additional £30,000 a year was required by the undertaking, the reserves of which were reduced to €1,200.

Rise in Costs On present costs, it 'was stated, the undertaking would incur a deficit of £24,739 this year. By March, 1954, the accumulated loss would be £51,257. Since the department's last application was heard in November -December, 1950, costs had risen by £29,000 a year. Deferring decision, the Licensing Authority said he was anxious to make the undertaking self-supporting, but that he would find it difficult to reduce the availability of workmen's fares.

New applications for advanced charges have been filed by St. Helens Corporation and its joint operators. It is proposed to add 14:I. to farts between 21d. and 4/d., and Id. to those over 5d., and to modify the range of concession rates. In ail, 34 services are affected, including some operated jointly with the corporation by six other operators.

Bradford Corporation has decided to apply for permission to abolish early morning workmen's charges. An estimated deficit of £85,000 is expected this year, and the abolition of the cheap rates would go towards meeting this without increasing passengers' costs by more than is. 8d. a week, the chairman of the transport committee declared.

Merthyr Tydfil Corporation has also applied for permission to abolish workmen's fares and to establish single fares on a mileage basis on 36 routes. A new scale of concession period fares is proposed. The proposed scale of single fares is lid. for up to 0.6 of a mile, 1.75d. per mile for between 0.6 mile and 4 miles, and Id. per mile for each additional mile over four.

Additions of Id. to 6d. on single and return „fares on services in the Metropolitan Traffic Area are proposed by Maidstone and District Motor Services, Ltd.


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