HC Deb 12 February 1929 vol 225 cc218-20
42. Mr. SOMERVILLE

asked the Postmaster-General whether, in connection with the success obtained by New Zealand in establishing a penny post to the rest of the Empire and the promising start made by Canada in the same direction, there has been since 1923 any increase in the volume of postage correspondence between these Dominions and Great Britain?

Sir W. MITCHELL-THOMSON

The net weight of letter mails to and from New Zealand and the United Kingdom has increased since 1923, but how much of the increase has been due to normal growth and how much to reduction in rates cannot be estimated. So far as Canada is concerned, no figures are yet available which would indicate whether or not the traffic has increased since penny postage was restored.

Mr. SOMERVILLE

Does not the right hon. Gentleman think that a similar step on the part of this country would result in increased correspondence, and a consequent diminishing loss of revenue?

Sir W. MITCHELL-THOMSON

That is a question which I would prefer should he addressed to my right hon. Friend the Chancellor of the Exchequer.

44. Sir ALFRED HOPKINSON

asked the Postmaster-General what is computed to be the average amount of loss to the Post Office per letter on unclosed letters delivered and what is the average profit per letter on closed letters; whether the cost of delivering an unclosed letter charged ½d. is less or more than that of a closed letter charged 1½d., and what is the estimated amount of the difference; whether any expense in sorting, inspection, or otherwise would be saved by adopting a uniform rate of 1d. up to one ounce; and whether, having regard to experience in other parts of the Empire and the probable effect on trade, it is considered that the estimated loss of two millions is a maximum figure and might be reduced shortly if a uniform 1d. rate up to one ounce were adopted?

Sir W. MITCHELL-THOMSON

The average loss on a ½d. packet is estimated at rather less than ¼d.; and the average profit on a 1½d. letter at about ¾d. The practice of holding over ½d. packets posted after a prescribed time results in some saving of cost, although the amount cannot be exactly assessed; in other respects an unclosed letter costs about the same to handle as a closed letter. It is impossible to forecast with any approach to accuracy the effect of a uniform rate of 1d. for one ounce, and the estimate of £2.000.000 loss is largely conjectural.