HC Deb 21 February 1912 vol 34 cc620-1
Mr. ROBERT HARCOURT

asked the Postmaster-General whether, in view of the fact that the telephone service is likely to increase in the future, he is, in fact, penalising the local authorities by adhering to the valuations as they stood on 30th June last for the purpose of paying contributions in lieu of rates?

Mr. HERBERT SAMUEL

I cannot admit that the local authorities will be penalised under this arrangement. The valuations in force in Scotland on 30th June last are the latest made, and the authorities will suffer no loss in respect of any lines taken over from the company. Contributions in lieu of rates have not been and are not paid on any lines erected by the Post Office, whether such lines are in connection with the extensions either of the telegraph or of the telephone system.

Mr. R. HARCOURT

May I ask the right hon. Gentleman whether they would not in fact be in a worse position in future in the event of the service increasing?

Mr. HERBERT SAMUEL

They would be compared with the state of things that would have existed if the National Telephone Company had continued in existence, but if rates are to be paid on lines erected by the Post Office in future, it would be difficult to differentiate a claim for rates on lines erected by the Post Office in the past. No such claim could be entertained.

Mr. PRETYMAN

Does that apply to buildings and premises as well as telephone lines?

Mr. HERBERT SAMUEL

No, Sir, a contribution will be paid in lieu of rates on buildings.

Mr. PIRIE

Is the right hon. Gentleman aware that the opinion he has just expressed is in direct contradiction of the unanimous view of a meeting of municipal authorities assembled in Glasgow?

Mr. HERBERT SAMUEL

I know there is a divergence of views between the rating authorities and the Treasury on the subject, but that is not surprising.

Mr. PIRIE

Is it not likely that the Scottish local authorities should know more about this than an alien Postmaster-General?