§ 43. Mr. VIANTasked the Postmaster General whether he is now in a position to modify the telephone trunk rates?
§ Major TRYONI apologise for the length of the reply, but it is a matter of importance.
The construction work, which was put in hand following the success which attended the reduction of trunk rates in October, 1934, has progressed satisfactorily and I am, therefore, happy to announce that, from the 1st May next, the maximum charge for a three minute trunk call between any two places on the mainland will be 2s. 6d, between 1792 five o'clock in the morning and seven o'clock in the evening, and 1s. at other times. This step will afford reductions in rates during both the morning and afternoon periods, between all places over 200 miles apart and, in addition, I propose to reduce the rates during the morning period for all distances from 35 to 200 miles. Thus the present charges for a three minutes morning call between London and Birmingham will be reduced from 2s. 6d. to 2s., between London and Manchester from 3s. to 2s. 6d., and between London and Edinburgh, Glasgow or Aberdeen from 4s, to 2s. 6d., a substantial benefit to trade, I hope.
Equivalent reductions will apply to calls between the mainland and Northern Ireland, the Channel Islands, the Isle of Man and the islands of Mull, Iona, Islay and Lewis, the reduced charges being still subject to the addition of the present cable charges, which, I regret, it is impracticable to modify at present owing to the plant position. The reductions will not apply to calls from the United Kingdom to the Irish Free State. In 1934 the system of charging was simplified by abolishing local differences so that the same rate is chargeable from all exchanges within a town area to any single destination beyond 75 miles. From 1st May this arrangement will be extended to include all calls beyond 50 miles.
Technical progress is gradually extending the distance up to which subscribers on an automatic exchange can obtain their own connections by dialling, the charge being recorded by automatic apparatus. To facilitate that process I propose to make some minor adjustments in the charges for local calls up to 15 miles chargeable distance which will give uniform rates throughout the day and evening periods and, for the most part, cheapen the calls between 10 and 15 miles. Small increases of charge will be necessary in some instances but, on balance, the public will gain considerably from the adjustments.
My proposals as a whole involve a sacrifice of revenue which, on the present volume of traffic, would amount to 8600,000 in the first full year; but I feel sure that they will be justified, as were the reductions of 1934, by the increased use that will be made of the telephone service and that the sacrifice of revenue will be reduced progressively as the service develops.
§ Sir HUGH O'NEILLCan the right hon. and gallant Gentleman say what is the amount of the extra that is to be paid in places off the mainland?
§ Major TRYONI should like to have notice of that question. Other places will benefit by the reductions.