§ 81. Mr. W. R. Williamsasked the Postmaster-General why the Post Office is opening up cable communication with certain European countries where alternative means of communication by wireless exist in view of the high transit charges on these cables and the fact that balance of trade 211W payments to these countries has to be paid in gold.
§ Mr. Wilfred PalingAn efficient international telecommunication system requires the use of both line and radio circuits. Radio circuits are liable to interruption by electrical disturbance, and a basic system of line communication is essential for the maintenance of a regular service. A general diversion of traffic from line to radio circuits for the purpose of reducing transit out payments would result in increased expenditure on wireless plant, less economic use of submarine cables partly or entirely British-owned, and a deterioration in the reliability of the services. Moreover, the number of wireless frequencies available is strictly limited. The necessity for economy in foreign currency outpayments is, however, always in mind.