RAILWAY ACCOUNTS

Evening Post, Volume CXXVII, Issue 33, 9 February 1939, Page 12

RAILWAY ACCOUNTS

POSITION IMPROVING

EFFECT OF INCREASED CHARGES

MINISTER HOPEFUL

The Minister of Railways (the Hon. D. G. SuUivan) stated today that he had every reason to expect, .from the figures already available, and after a careful examination of the current trends of traffic, earnings, and costs, that the budgetary estimate made at the beginning of the current financial year for net earnings from the railways of £505,000 would be realised, plus an additional £200,000 from the increased rates operative from December 11 last. "I anticipate this result,". continued Mr. Sullivan, "despite' the recent setback in short-distance passenger traffic through bad weather interfering with holiday-making plans during the Christmas and New Year holiday period, and that the total estimated net revenue for the year ended March 31, 1939, will thus be something over £700,000. "The returns for the four weeks ended January 7 show a net revenue of £55,180, which is £32,215 less than for the corresponding period of 1938. These receipts were, hjwever, adversely affected both by the advance bookings in the previous period in anticipation of the 10 per cent.] increase in fares and freights operating from j December 11, 1938, and also by the unfavourable weather conditions to which! I have referred. "I may say," remarked Mr. Sullivan, j "that for the 40 weeks ended January 7, 1939, the Departmental estimates made in April last allowed for a net revenue of £78.836, the amount actually realising falling short of the estimate by £25,911. "However, the revenue for the three weeks subsequent to January 7 has shown a total increase of £68,000, which, after allowing fo»- the 10 per cent, increase, is much above the estimate, and will substantially assist towards making up what is required to meet the budgetary position. "A feature which will favourably affect the comparative returns for the current year is that at the close of the accounts for the March period last year, arrears of salaries and wages due but not paid, amounting to £83,000, were brought to debit, whereas during the present financial year all salaries and wages payments have been made at the increased rates, and no similar debit will appear in the March accounts of the current year."