THE MARQUESS OF CLANRICARDEasked, When the Report of the Royal Commission on Railways would be presented; and whether the Government had yet considered the applications for Government interference in the concerns of Irish Railways? He apologized for having introduced the Question at such an early period of the Session, but thought himself justified by the pressing importance of the subject; for in his opinion the most effectual way to improve the condition of Ireland was to aid the development of her material resources.
§ THE EARL OF DERBYIt is quite true that the Question referred to by the noble Marquess is one of very great importance to Ireland: and the Government have received a great many memorials praying that the subject should be taken up. It is quite true, also, that the evidence taken before the Commissioners has been before the public for some time; but the Commissioners have not yet made their Report, and it may be three weeks or a month before they are able to do so. Until the Report has been presented the Government cannot, of course, come to a conclusion upon the subject. The question is not only of the greatest importance, but also, as the noble Marquess should know, of the greatest difficulty. There can be no question that the railways of Ireland can be more economically managed, and that the great expense to which the different companies are put, solely in consequenee of their number, would be very largely decreased if the proprietary were consolidated under one head, with one management. This would not only decrease expense, but probably tend to an increase of productiveness. But, at the same time, we must remember that railway property in Ireland is not in the most prosperous condition; out of the 1,800 miles of railway in the country, only six miles—the line from Dublin to Kingstown—pay a really satisfactory dividend. I am afraid to say how many companies are absolutely bankrupt, or how many have suspended operations altogether. But I must say that Her Majesty's Government are asked to undertake a very grave task when they are invited to undertake the management of such a property as the Irish railways, putting aside pecuniary considerations. I do not understand that the railway companies are at all agreed as to the 458 course they would desire us to pursue, except that they would like us to buy all their railways at their own price—especially those lines which pay no dividend at all; but that would not be a very profitable speculation for the Government to enter upon. Then there are many objections to the proposal that the Government should undertake the management of railway property; there are political reasons, such as the enormous patronage which would in that case be vested in the hands of Ministers. But supposing the Government did buy the railways, a question arises which is not easily answered. We are told that it would be infinitely to the advantage of the country if the railway fares were lowered and all the railway directors say that lowering the fares would be to the advantage of the companies; but they also agree in saying that the shareholders object to lower the fares because, whatever the ultimate result, the immediate consequence would be a considerable loss. Accordingly, a few of the Irish railway companies desire the Government to bear that loss, though they think it very undesirable the shareholders should do so. On the whole, much difference of opinion prevails upon this question, which demands most serious consideration; and at present I can only promise that, as soon as the Commissioners have furnished us with their Report, we will give our best attention to their recommendations—we will consider how far their recommendations are borne out by the information brought before them and shape our course accordingly.
THE MARQUESS OF CLANRICARDEthought the railway companies would be very glad to take less for their lines than the Act of 1844 prescribed.
§ THE EARL OF DERBYThe Act of 1844 fixes the amount to be paid by the Government as twenty-five years' purchase of the net receipts. But suppose a railway has received nothing, how much will twenty-years' purchase of that amount to?