HC Deb 15 February 1937 vol 320 cc833-4
32. Mr. Walkden

asked the Postmaster-General whether, in view of the increasingly favourable results accruing from the services under his control, and of the desirability of doing everything possible to maintain and expand the business of the country, he will endeavour to arrange for the restoration of the penny post as an historical incident in the Coronation year?

Major Tryon

The restoration of penny postage with a half-penny postcard would mean an immediate reduction of over £7,300,000 in the revenue from existing letter traffic and of about £800,000 in that from postcards—a total of about £8,100,000. This loss of revenue would probably be reduced by about £600,000, the estimated amount of the net profit on new traffic and on the diversion of existing traffic to a higher rated category. Much as I would like to restore penny postage as a Coronation concession, I regret that the financial situation would not warrant the sacrifice of revenue involved.

Mr. Walkden

Is the right hon. and gallant Gentleman aware that there was a surplus of over £12,000,000 from the Post Office business during the past 12 months, and that there will be a large increase in the coming year?

Major Tryon

The figures do not relate to this year. If this loss of profit were made, unless there were a Budget surplus, it would be necessary to impose some taxation to replace the loss of profit, and that taxation would not form a very happy historic incident in connection with the Coronation.

Mr. Walkden

Is the right hon. and gallant Gentleman aware that the revenue for the current year looks like being very much greater than the revenue in the past year?

37. Mr. Viant

asked the Postmaster-General whether he has given consideration to the possibility of offering penny postage for letters posted within prescribed hours of each day, except Sunday, with a view to encouraging the users of the postal services to assist his Department in the elimination of the heavy traffic experienced during the later hours of each working day?

Major Tryon

I have carefully considered more than one suggestion of this nature, but I am satisfied that there are serious practical objections to the adoption of any such scheme.