§ The Post Office has under consideration changes in the charges both for postal services and for telecommunications services; both increases and decreases would be involved. It is proposed that there should be an important restructuring of the pattern of postal services, 3n the basis of replacing the present letter and printed paper services by a two-tier system providing for a first and second class letter service at differential tariffs. Some changes in the present basis of charging for telephone services are also in mind. In considering what will be needed the Post Office has had regard to the foreseen growth in business and in the size of the telephone system the expected increases in productivity, the requirements of the Post Office capital investment programme and its financial obligations. The new tariffs would take effect in the case of telecommunications in the summer of 1968 and in the case of postal services in the autumn of 1968.
§ The Government think it appropriate that these proposed changes should be examined Fey the National Board of Prices and Incomes. Accordingly, in pursuance of their powers under Section 2(1) of the Prices and Incomes Act, 1966, the Secretary of State for Economic Affairs and the Postmaster-General hereby refer the question of the proposed changes in Post Office charges to the National Board for Prices and Incomes for examination on the assumption that the financial objectives of the postal and telecommunications services and the general programme of development for the industry are as approved by the Government for the relevant period.