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Auckland Star, Volume XXXI, Issue 213, 7 September 1900, Page 3

The Manchester "City News" of recent! date contains the following in reference to the working" of tramways by the Liverpool Municipal Corporation: —"To those who have any lingering' doubt in their minds in regard to the superiority of the. working" of ti-amways by municipalities over tfhat of private companies, the evidence Sir Thomas Hughes gave to the Joint Committee on Municipal Trading may be commended. Sir Thomas has been a member of the Liverpool City,.. Council twenty-three years, and has* been twice Mayor. Briefly summarized it appears that the Liverpool .Corporation bought out the old company at what Sir Thomas called tlxe extravagant sum of £567,----000, whilst the total capital of the company was only £445,000. But notwithstanding this dead weight of cash, which was paid for a S3 rst:em which had to be entirely reconstructed and changed from horse haulage to electricity, the Corporation have been able to reduce the fares nearly one-hall, clothe the men in decent uniform, raise their wages on the average'by five shillings a week, and reduce their labour by three hours a day. During the last year of the old company, 1895, the number of passengers carried was 36,700,000 and the gross receipts £278,000. Last year the number of passengers was 63,700,000 and the receipts £360,000, leaving a net profit, aftter providing for sinking fund and depreciation, of £27,600. As required by the Act this sum has been carried to the reserve fund, and all other net profits will be so transferred until 1912, after which surplus earnings can be paid over in relief of rates. The probabilities are that the accumulated reserve fund in 1912 will far exceed in amount the extravagant sum the Corporation paid over to the old company, and the Liverpool people will be in the enrjoyinent of one of the best and cheapest tramway systems in ■.the country, with the smallest proportionate dead weight of capital reckoned by mileage and number of passengers carried.