SECOND READING. (Hansard, 9 March 1893)

§ MR. WEIR (Ross and Cromarty)

I oppose this Bill in consequence of the action of the Associated Railway Companies in raising their rates and charges, which is having a very serious effect on industrial and commercial undertakings in this country. This policy, adopted by the Railway Companies, so that they may pay 6, 7, and 7½ percent. dividends to their shareholders, is seriously detrimental to the public interests. I am not one of those who think that shareholders should not have fair interest on their money, but I look forward to the time when the Liberal Government, which professes to be the champion of progress, will think it desirable to absorb the Railway Companies, and guarantee the shareholders fixed dividends of 2¾ per cent., and after 1905, when Consols will pay only 2½ per cent., will guarantee them dividends at that rate. These large dividends are simply disastrous to our agricultural and manufacturing enterprise, and I hope the President of the Board of Trade will put his foot down in dealing with the Railway Directors, and let them understand that the welfare of the community has to be considered as well as the interests of the shareholders. I read in The Daily News of to-day that— The Chairman of the Great Eastern Railway Company, Mr. Parkes, has informed Mr. Mundella that the Directors of the Company have instructed the officers so to arrange the Company's rates and charges as to bring them, as far as possible, in accord with the rates charged to traders and others before 1st January 1893. I am glad to find they have taken a step in that direction, no doubt 1407 in consequence of the Resolution of this House last Friday night, and the statement made by the President of the Board of Trade on that occasion. But Mr. Parkes winds up his remarks by stating— The Directors reserve the right of moderately increasing certain rates when trade and agriculture revive. Well, what do Railway Directors call moderate rates? I suppose those which will ensure 6½, 7, or7½ per cent. dividends. This Bill, I believe, in itself, is a very good Bill; but, on principle, I think it is only the duty of Members of this House to offer a protest against the action of the Associated Railway Companies generally throughout the country. It is not very long since the Great Northern Railway Company set at defiance a large class of season ticket holders, whom they are still keeping at arm's length. I hope the President of the Board of Trade will see to that matter when the question comes before him. I have no desire to divide the House upon this Bill, but I think it right that I should lodge a protest against the measure on the grounds I have stated, and I hope the President of the Board of Trade will cause Railway Directors to realise that he is the master of the situation, and not they.