HC Deb 24 May 1932 vol 266 c192W
Mr. L. SMITH

asked the Postmaster-General what has been the profit accruing to the Post Office in respect of air mail services for each year since their introduction; how such profits compare with those on the telegraphic services for each of those years; and whether, with a view to stimulating development of air mail traffic as rapidly as possible, he will consider the advisability of reducing the charges for air mail packages and limiting the profits to be obtained from the air mails?

Mr. WHITE

Up to 1925 the use of air mail services was very small, and there are no reliable figures of profits prior to that year. Since then the profits on air fees have been roughly as follow:

£
Year ended 31st March, 1926 500
Year ended 31st March, 1927 650
Year ended 31st March, 1928 2,000
Year ended 31st March, 1929 1,850
Year ended 31st March, 1930 6,350
Year ended 31st March, 1931 1,000

During the same years the inland telegraph service was run at a loss and the foreign telegraph services showed a small profit, except in 1930–31, when they also showed a loss. The postage rates on air mails are fixed so as to cover as closely as possible the actual costs of the service, and so long as these costs remain at their present level there is no margin for a reduction.