HC Deb 15 November 1928 vol 222 cc1098-9W
Viscount SANDON

asked the Postmaster-General what sum it would actuarially be estimated to be necessary to charge for an unlimited number of telephone calls in a year to each subscriber in order to safeguard existing profits; how that compares with the charge last in use prior to abandonment; and for what reasons the profitable charge as at present estimated cannot optionally be made in lieu of charges per call?

Sir W. MITCHELL-THOMSON

A universal flat rate charge would necessarily be higher than the total sum at present paid by the bulk of subscribers and would consequently amount to a compulsory additional charge to them for service beyond their needs. An optional flat rate scale designed to safeguard existing profits would have to be fixed at a point, not far below the maximum potential user, for it must be assumed that only those subscribers would adopt it who would not lose financially by so doing. The calculation suggested would involve so many uncertain factors that the results would be too speculative to serve a useful purpose. It is hardly possible to reply to the last part of the question within the limits of a Parliamentary answer, but my Noble Friend will find the matter fully discussed in Part IV of C.D. 1143 of 1921 (Memorandum on the new Telephone Rates), to which I would refer him. The conclusions reached therein still hold good.