MR. GORST (for Sir H. DRUMMOND WOLFF)asked the Postmaster General, The number of telephone exchange wires now in use at Post Office Telephone Exchanges in the United Kingdom; the number of private telephone wires rented from the Post Office; the cost thereof respectively; the revenue derived there from respectively; and, the revenue which would be derivable there from respectively if erected and maintained by private companies at their own cost under Post Office licences, calculated at the average rate for royalties now charged by the Department to private companies.
§ MR. FAWCETTThe Post Office, on the 31st of March last, had 783 subscribers to its systems of telephone exchanges for rentals, amounting to £16,983 per annum. As it would take much time to ascertain the number of private wires rented from the Post Office which are worked by telegraph and telephone apparatus respectively, I am sorry I am not able to answer the hon. Member's second Question. If the telephone exchange lines of the department were provided by the Private Telephone Companies at the same rentals, the royalty payable would be £1,698 per annum. No royalty is payable to the Post Office in respect of private wires—that is, wires used for private messages, as defined by the Act of 1869, erected and maintained by persons outside the 1308 Department. So far, therefore, as this business might be done by private individuals, no revenue would be received by the Post Office.
DR. CAMERONasked the Postmaster General, The amount of royalties received by the Post Office last year from Telephone Companies for licences to such Companies to use their own instruments, at their own expense, for exchange and other purposes; the original rate of percentage for such royalties; whether the Department has recently increased the percentage in the ease of new or extended licences; and, whether in recent cases it has also sought to impose a minimum actual royalty, irrespective of reductions in the charges of the Companies to the public?
§ MR. FAWCETTThe amount of royalties received by the Post Office in the year ended 31st December last from Telephone Companies for licences to carry on business which has been legally decided to be telegraphic was £15,556. The original rate of percentage was 10 per cent, increased in a few cases of extension of radius. In reply to my hon. Friend's last Question, I may say that in new licences the percentage is no greater; but a minimum royalty of £1 is payable.
§ MR. GRAYWould the right hon. Gentleman say why an extra charge is made in a licence for an extra radii?
§ MR. FAWCETTBecause it is doing more business.