£34m aid for State bus, rail
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The National Bus Company is to get a £7m Government grant for 1972 and the British Railways Board £27m.
Announcing this in the Commons, Mr John Peyton said that this would help the undertakings to comply with the CBI initiative on price restraint.
Finance by way of loan would continue to be available towards their capital expenditures, added Mr Peyton.
He recalled that he had been discussing with the chairman of the nationalized transport industries the implications for them of compliance with the CBI move.
The financial position of both the BRB and the NBC had already given cause for concern. Following price restraint it was evident that neither of these undertakings would be able to comply with their statutory financial obligations unless they received special financial assistance.
He had therefore agreed with them the amounts needed in 1972 to enable them to discharge these obligations.
Legislation making the necessary provision for the grants would be introduced as soon as possible.