Higher Fares to Offset Losses
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BOTH Cardiff and Newport bus undertakings are running at a loss, the South Wales Traffic Commissioners were told last week. The Commissioners agreed to sanction fare increases which would yield £95,000 at Cardiff and £48,000 at Newport, to come into effect next Wednesday.
Presenting Cardiff's case, Mr. D. A. Roberts Thomas said they wanted to cut the 3d. stage by a quarter of a mile, and the 4d., 5d., 6d. and 7d. stages by half a mile. Despite passenger resistance, this should bring in an extra £95,000 a year.
The last increase was in December, 1956, and since then wage awards totalling £45,000 a year had had to be absorbed Fuel costs were up by £12,000. and it was expected that an increase in fuel oil prices would cost an extra £2,500.
Granting the application, Mr. Idris Owen, chairman; said that in view of what was happening elsewhere, the Commissioners thought the proposals were reasonable.
For Newport Corporation, Mr. H. Greenhalgh said they proposed a Id. increase for all adult fares, except those for old-age pensioners. This would produce £48,000 to offset the estimated deficit this year of £43,000. At the beginning of this financial year there was a surplus of £19,876, but wages and other costs had swallowed it.
The application was granted as applied 'for.
The Yorkshire Commissioners have granted increases sought by the West Riding Automobile Co., Ltd. (The Conimercitzl Motor, December 26, 1958). The 2d. minimum will stay, but from 3d. to Is. an increase of not more than Id. is granted; Is. Id. to 2s., not more than 2d.; and 2s. Id. upwards not more than 3d. The award is expected to yield about £75,000.
Fare increases sought by the Gateshead and District Omnibus Co.. Ltd., were granted last week by the Northern Traffic Commissioners, despite objections by two local authorities. The revisions are designed to yield £11,200.
Mr. J. L. R. Croft, for the company, said that following the wage award it was estimated that the deficit on a full year would be £16,700. Even with the proposed increases they would still have to find another £5,500 to make up the balance, so it might be necessary for them to make another application.
Mr. J. W. King, general manager. said that when they changed over from trams in 1950 their whole fleet had to be replaced in 12 months. Consequently, the life of the fleet would expire in 1963.