RAILWAY FINANCE

Evening Star, Issue 23700, 7 October 1940, Page 10

RAILWAY FINANCE

BIG ACCRETION TO REVENUE [Peu United Phbss Association.] CHRISTCHURCH, October 6. Reviewing the approximate returns of railway teveuue and expenditure, the Minister of Railways (Mr Sullivan) stated to-day that the position was satisfactory, the net revenue for the four-weekly period ended September 14 being £64,424, compared with a deficit of £7,814 in the corresponding period last year, and that the approximate net receipts for the 24 weeks of the current year amounted to £588,919, against £169,568 for the first 24 weeks of 1939. Mr Sullivan drew special attention to the fact that, while the revenue for the past four weeks showed an increase of £72,845, the expenditure had increased by only £607. “ During the four weeks ended September 14,” said the Minister, “ there was a substantial increase in passenger traffic, due largely to the transport of troops, and traffic in coal, manure, lime, and general commodities also showed a considerable expansion, while the net result of all operations for six four-weekly periods of last year was a deficit of £7,814. Operations for the relative period of this year have produced a surplus of £64,424, the gross revenue being £773,698, against an expenditure of £709,274. There is good reason for congratulation in the fact that this total of expenditure was only £607 in excess of the expenditure incurred during the corresponding fourweekly period of 1939. “An examination of the accounts from April 1 to September 14 (24 weeks) provides opportunity for a fuller appreciation of the improved state of the railway finances,” continued Mr Sullivan. “ The gross revenue to date is approximately £4,885,552, compared with £4,306,401 received during the first 24 weeks of last year, an increase of £579.151. Expenditure was £4,296.033 this year, exceeding last year's figures by " £159.800. The net revenue from all operations of the department for the 24 weeks of the current year was, therefore, approximately £588.919, compared with £169.568 for the corresponding period of 1939, an increase of £419,351. “There will be additional charges, however, for the balance of the financial •tear to meet increased costs arising from the inevitable increase in the cost of imported raw materials.” he concluded. “ while further provision will require to he made for the cost-of-living allowance granted to the lowor-naid employees of the unMie service. including employees of the Railway Department.