HC Deb 13 September 1887 vol 321 c469
MAJOR BANES () (for Mr. ROUND) () Essex, N.E., Harwich

asked the Postmaster General, Whether the guarantee now demanded in the case of rural telegraph extensions is required to cover any further expenses than those stated by the Prime Minister on 4th August; and, whether, in view of the hopes held out by the late Mr. Fawcett in 1881, in answer to a Question in this House, he will consider whether more favourable terms cannot be granted to such guarantors than those which at present exist?

THE POSTMASTER GENERAL (Mr. RAIKES) () Cambridge University

In reply to the hon. Member, I have to state that I am not aware of any addition that I can make to the explanation which was given by the Prime Minister of the principle on which guarantees for telegraph extensions are now fixed. As to what was stated by Mr. Fawcett in 1881, I find that certain modifications were made in the following year; the principal one being that, whereas formerly guarantors had been required to deposit in advance the amount of the guarantee, they were in subsequent cases merely required to make good the deficiency at the end of each year. As regards the guarantee required in those cases where the office is found to be not self-supporting on the expiration of the first term of seven years, the amount of the sinking fund for the first cost is omitted.