John Spencer Wills Talks of the Cost of Corporation Tax
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I F corporation tax (the rate of which is to be announced in the April Budget) were fixed at 35 per cent it would cost East Yorkshire Motor Services Ltd. £27,000 this year. A variation of 21 per cent from that figure would alter the amount of tax due by a little under £2,000.
The above figures were quoted by Mr. John Spencer Wills, chairman of the company, addressing the 39th annual general meeting last week. In the year ended on September 30 last the total receipts were £68,000 higher than for the previous year. The company's mileage at 9,300,000 was nearly 4 per cent up and the number of passengers carried practically the same at 311m.
Operating balance of £164.049 was only £11,000 down, despite labour costs increasing by nearly £70,000 to £800,770. A final dividend of 9+ per cent (less income tax) was proposed which, with the interim dividend already paid, made the total distribution virtually the same as last year's.
Mr. Wills said that the question of maximum co-ordination of all forms of transport had again been the subject of comment recently and he went on to remind the shareholders of the very considerable degree of co-ordination which had been built up, in the company's case, over a period of 30 years. He was, of course, referring mainly to the co-ordination agreement reached with Kingstonupon-Hull Corporation in 1934.
In the new year it was hoped to introduce a pooling arrangement with United Automobile Services Ltd., which would lead to more economical operation of routes in the coastal area between Bridlington and Scarborough and add to their usefulness to the public. Similar arrangements had long existed with West Yorkshire on the Bridlington-York-Leeds route.
Co-operation with British Railways, particularly with regard to local railway closures, was also referred to by Mr. Wills. The services provided by the company to serve Hornsea and Withernsea had proved in practice to be quite adequate so far to convey all the traffic.
• They had been prepared, last summer, to carry many more week-end travellers than appeared, but the weather was discouraging and they hoped for something better next year.
The passenger-carrying capacity had been increased by the delivery of 14 large-capacity AEC Renown doubledeckers and 10 36-ft. Leyland Leopard single-deckers. For the years 1966 and 1967, no fewer than 51 new vehicles were on order, comprising 22 doubledeckers, 27 single-deckers and two luxury coaches.