PENNY POSTAGE.

Hawera Star, Volume XLVIII, 30 August 1924, Page 3

PENNY POSTAGE.

AY'HAT CHANGE HAS COST. COMPARISON WITH AUSTRALIA. UNIVERSAL ADOPTION PLAN. As time goes on, the Dominion is in the position of assessing the financial result of the policy of reversion to the penny postage, in which th Dominion was the first country to move. On October 1, 1923, the penny postage was re-established within the Dominion, and to all parts of the British Empire, by the further uocrease, of one halfpenny in the letter • ate. was taken at the same time to make appropriate reductions in the rates of postage c,n other classes of mail matter. When it is remembered that the cost of concessions in postage 'brought about by the reductions effected in February and October, 1923, was £600,000 pe,r annum, there is cause for congratulation, says the Prime Minister, that revenue from postages last year was only £257,149 less than that derived from the same source during the previous year. With a continuance of prosperity," this loss should shortly disappear. • The Postmaster-General, in his annual. report, presented to Parliament., shares this view, and expresses the conviction that the reduction in postage rates will result in a much increased volume of business. Now Zealund, 1 10 says, now eiijovs the cheapest rate of postage in its history. The cost of furnishing this service is still mgh, on account of the depreciated value of the pound sterling. A statement published liv the Commonwealth Postal Department last week shows the effect on .the consolidated revenue of the reduction in the postage rates from 2d to the present- rate of lid. Tf the reduction had operated throughout the financial year ended June 30 last, the loss in revenue would have exceeded £1,000.000.' A reversion to neunv postage woidd have involved a loss of £1,250,000. When the Commonwealth was .asked by New Zealand to accent letters from New Zealand at Id, the request was declined, hut, after further negotiations, the decision was reversed. At the Postal Congress, which has just cmicluded its sittings at Stock’holnvit was the intention of the New Zealand delegate, Mr A. T. Ma.rkman to move for the adoption of the: universal penny postage, following the precedent initiated by the Dominion, irior to his departure, however Mr Markman stated that h© did not expect to see the proposal adopted generally at once.