Tyneside buses are in the black
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• A surplus of some £200,000 on its 1971 bus operations is anticipated by the Tyneside Passenger Transport Executive, the Authority was told at its last meeting. The bus undertaking was also now debt free, Dr Tony M. Ridley, director-general of the PTE, reported. Dr Ridley told CM that the surplus was particularly gratifying in view of the largescale reorganization of services in the Newcastle division which came into effect on March 21 1971.
Aid Andrew Cunningham, chairman of the Tyneside PTA, stated: "We think it is a great achievement to have paid off the debts of the undertaking." However, Dr Ridley warned that further cost increases and passenger decline, particularly in the light of the accelerated increase in car ownership, would probably result in a deficit in 1972.
The estimated surplus is the figure left after making full provision for replacement of assets, and will be used to peg fares at their present level for as long as possible. However, a recommendation to increase the fares may have to be submitted to the Authority before the middle of the year after the final outcome for 1971 is known, Dr Ridley reported.
In spite of increasing costs the PTE did not recommend an increase inthe rate precept of 1 p for the continuation of the Area travel concession scheme. On the other hand an increase from -fp to lp of the precept for other non-operational purposes was recommended.
The latter precept would be employed partly to meet the cost of preliminary work for Tyneside's rapid transit scheme, which includes the conversion of the north Tyne loop into a light railway — a proposal supported by British Railways. The balance will go to meet the Executive's proportion of the deficit incurred on the local BR services.