§ Mr. Dykesasked the Secretary of State for Industry, pursuant to his answer of 11 March, Official Report, c. 345, what, in money and percentage terms, would be the substantial loss of revenue to the Post Office if letters from the United Kingdom to other member States of the European Community were treated as internal mail and charged accordingly.
§ Mr. Michael MarshallThe Post Office tells me that, on the basis of the Community of Ten, at current postal rates revenue forgone would amount to some £4 million per annum. This represents 0.2 per cent. of estimated total revenue for 1980–81, but about 10 per cent. of the estimated excess of receipts over expenditure needed to 21W meet the financial target for the postal business. The loss in revenue would be sufficient to turn overseas services as a whole from around the break-even point into loss. It would more than double expected losses on the European "all-up" service, to which the change in tariffs would apply.