'Absurd profit' Cumberland gets fares increase
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CUMBERLAND Motor Services Ltd., of Whitehaven, were last week granted fares increases by the Northern Traffic Commissioners whose Chairman, Mr. J. A. T. Hanlon, said that the company, with a turnover of over £1m. would have a profit of only £9,000—far lower than that of any other company in the traffic area.
The increases include 1 d. on all odd fares with the exception of the 3d. which is unchanged. Certain 5d. fares will be reduced to 4d. and, where single fares are increased, there will be a revision of multiple journey fares. Children's fares go up to two-thirds of adults'.
For the company, Mr. J. L. R. Croft said it was estimated that the increases would bring in an extra £20,000 in the current year. It faced increased costs, mainly due to wage awards, of £27,000 in a full year. Anticipated revenue in the current year would be £1,091,300 and expenses £1,082,230, which left an income of £9,070 —"absurd, by any standard".
The proposed increases would bring net income to an estimated £29,070 which gave the low return of 2.9 per cent on capital employed.
Objectors were Workington Borough Council, Maryport Urban Council and Ennerdale Rural Council.