§ 98. Mr. Grimondasked the Secretary of State for Scotland why he has authorised a further increase in the freight charges to Orkney and Shetland contrary to the recommendation of the National Board for Prices and Incomes in paragraph 81 of their report.
§ Mr. RossThe Government are satisfied that the increased charges are urgently necessary to meet rising costs and to maintain services, and that they meet the criteria set out in the White Paper on Productivity, Prices and In-conies Policy (Cmnd. 3590). The increase does not conflict with the terms of Report No. 67 of the National Board for Prices and. Incomes presented in May, 1968, which recommended that charges should be held for about a year pending agreement between the company and the county councils on an improved service supported by a contribution from the rates.
§ Mr. Grimondasked the Secretary of State for Scotland why Orkney and Shetland, unlike other areas receiving help 396W over freight and transport charges, are required to raise part of the proposed subsidy on the rates.
§ Mr. RossThe Government's offer of a 75 per cent. grant towards a subvention from Orkney and Zetland County Councils to the North of Scotland Company is in conformity with the view of the National Board for Prices and Incomes that a county council subvention would an arrangement would be without prejuterm assistance to the company. It has been made clear to the councils that such an arrangement would be without prejudice to later consideration of alternative methods of assistance.