HC Deb 19 February 1929 vol 225 cc941-2
28. Sir H. BRITTAIN

asked the Postmaster-General whether he is able to give the House the estimated profit of the Post Office for the year 1928–29?

Sir W. MITCHELL-THOMSON

In round figures, eight and a half million pounds, subject to variation in case of abnormal weather conditions.

Sir H. BRITTAIN

Can my right hon. Friend give any indication of the expected profits for 1929–30?

Sir W. MITCHELL-THOMSON

I think my hon. Friend must wait till the opening of the Budget.

Mr. R. MORRISON

Will the right hon. Gentleman bring that answer to the notice of the Prime Minister before he delivers his next lecture on the failure of nationalization?

33. Sir WILLIAM DAVISON

asked the Postmaster-General what is the total capital expenditure of the Post Office on buildings, telegraphs, and telephones since the War; and whether, in estimating the annual profit made by his Department, any provision is made for the replacement of such capital?

Sir W. MITCHELL-THOMSON

Ninety-two millions sterling. In ascertaining the annual profit of the Post Office, provision is made both for interest and for capital replacement, as to which I would refer my hon. Friend to the Commercial Accounts.

Mr. T. JOHNSTON

Is it not the case that the right hon. Gentleman charges 25½per cent. depreciation upon the telephone service, and that if he did not charge that extraordinarily large depreciation, the profits would be very much bigger?

Sir W. MITCHELL-THOMSON

No, it is nothing like that; but I do not think I can give any round figure. The depreciation is charged on the straight line method and is based on the anticipated life of each item of plant. I think the average length of the telephone annuities, speaking as a whole, is something like 19¾years.

Sir H. BRITTAIN

Can my right hon. Friend let the House have some comparison of the profits made on the telegraphs and telephones in this country as against the amazing profits made in Canada and the United States under private enterprise?