I move:—
Go ndeontar suim ná raghaidh thar £1,610,435 chun slánuithe na suime is gá chun íoctha an Mhuirir a thiocfaidh chun bheith iníoctha i rith na bliana dar críoch an 31adh lá de Mhárta, 1941, chun Tuarastail agus Costaisí Oifig an Aire Puist agus Telegrafa (45 agus 46 Vict., c. 74; 8 Edw. 7, c. 48; 1 agus 2 Geo. 5, c. 26; na hAchtanna Telegrafa, 1863 go 1928, etc.); agus Sheirbhísí áirithe eile atá fé riaradh na hOifige sin.
That a sum not exceeding £1,610,435 be granted to complete the sum necessary to defray the Charge which will come in course of payment during the year ending on the 31st day of March, 1941, for the Salaries and Expenses of the Office of the Minister for Posts and Telegraphs (45 and 46 Vict., c. 74; 8 Edw. 7, c. 48; 1 and 2 Geo. 5, c. 26; the Telegraph Acts, 1863 to 1928, etc.); and of certain other Services administered by that Office.
The net Post Office expenditure for the year 1940-41 is estimated at £2,487,435, being an increase of £81,890 on the Estimate for 1939-40. The gross increase is approximately £112,000, of which the main items are:—£53,500 in respect of higher cost of living figure; £26,000 for increases in the prices of commodities; £14,800 for additional civil aviation and meteorological wireless services; £7,400 in respect of repayments of further moneys advanced under the Telephone Capital Acts; £8,600 increased provision for superannuation; the balance being due to incremental increases on salaries, etc. There are offsetting reductions under the heads of railway and air mail conveyance; cost of non-engineering stores; engineering contract work, etc.; also savings in respect of an extra pay day included in 1939-40 but not arising in the current year. These reductions, together with additional receipts from Appropriations-in-Aid, make the estimated net increase in expenditure for the year £81,890. Of this increase, as already stated, £53,500 is due to higher cost of living figure.
The total provision includes a sum of £18,188 in respect of staff on loan to other services, mainly those arising out of the emergency.
At the outset I desire to indicate the financial position of the Department as ascertained from the commercial accounts for the year 1938-39, the latest period for which completed figures are available:—
Postal services: Revenue, £1,736,250; Expenditure, £1,619,742; Surplus, £116,508.
Telephoneservices: Revenue, £552,683; Expenditure, £486,931; Surplus, £65,752.
Telegraph services: Revenue, £186,345; Expenditure, £315,977; Deficit, £129,632.
It will be seen that the postal and telephone services combined showed, at the end of the year 1938-39, a surplus of £182,260, and the telegraph service a deficit of £129,632, leaving a net surplus on the three services of £52,628. Although revenue for the year was greater by, approximately, £81,000 than for 1937-38, the surplus dropped by about £41,000. The drop in surplus in 1938-39 was mainly due to higher cost of living figure, to increased expenditure on mail conveyance, to the development of air services, and to advances in the prices of stores.
While I am not yet in a position to furnish precise figures of revenue and expenditure for the financial year which has just concluded, so far as can be judged, the surplus of £52,000 odd which existed at the end of March, 1939, had at the end of last month been converted into a deficit of, roughly, £30,000. And this despite the fact that revenue for 1939-40 was approximately £30,000 greater than in the previous year. The explanation is that the growth in revenue was more than counterbalanced by increased cost of living bonus; of additional staff to meet growth of services; of mail conveyance; by increased prices of stores, and by special provision of general and engineering stores rendered necessary by emergency conditions.
The Post Office services being the main channels of communication with places outside the State, it might naturally be expected that the business of the Department would have been adversely affected in material degree by the international situation. Such has, however, not been the case. Letter and parcel traffic keeps well up to normal; the postal order, money order and savings bank business transacted last year was even above the level of the previous year; while the number of telephone calls increased by over 3,000,000. Even telegrams, an ordinarily declining service, were up by over 20,000. I have already referred to the increase of £30,000 in revenue during the year. The general inference to be drawn from these very satisfactory figures of Post Office activities must, I think, be that the business and industry of the country are, notwithstanding the disturbed international position, in a very healthy condition. So far as the Department is concerned, I see no reason to apprehend any adverse change in the situation during the coming year, although the limitation of the activities of Irish Hospitals Trust, Ltd., a valuable contributor to Post Office revenue, will no doubt have its effects. On the whole, however, I am optimistic that this year existing revenue will be at least maintained.
The main effect of the present European war upon the Irish Post Office has been a slowing down of the external mail services, principally those to and from the more distant countries. As regards the services with Great Britain, the day packet between Dún Laoghaire and Holyhead has been discontinued, and the Rosslare and Fishguard boat now runs on only three nights a week. While, however, a certain amount of delay to correspondence occurs by reason of the restricted services, it cannot be regarded as particularly serious. The inward night packet from Holyhead has, however, been running very irregularly, and this has involved failure of connection with the day mail trains to the provinces, delay to the second delivery in the Dublin central districts, and the postponement of the second delivery in the Dublin suburban districts until the afternoon in order to avoid considerable expense for overtime which would otherwise have been necessary. I am glad to say, however, that recently the running of the night packet has tended to become more regular, and this has enabled special arrangements to be introduced during the past few days for improving the position of the suburban areas. If the present running is maintained, it is hoped that it will be practicable to commence the suburban deliveries between 10.15 a.m. and 10.30 a.m. from this onwards, but whether this can be attained in practice will, of course, depend upon the future running of the boat. It will be appreciated that in present circumstances it is not practicable for my Department to control effectively the cross-Channel working.
In regard to the foreign services, despatches and arrivals of American mails via Cobh have had to be suspended owing to the cessation of calls by mail steamers at that port; direct communication with certain belligerent countries is no longer feasible and mails for them have had to be diverted from their ordinary routes; the system under which first class mail matter for various countries abroad (Australia, South Africa, etc.) was conveyed by air, as the normal means of transmission without special air fee, has been suspended, although air services to the countries concerned are still available at special air rates. In general, foreign mails, outgoing and incoming, are at present suffering considerable delay in transmission and this unfortunately is not avoidable. Notwithstanding the adverse conditions, however, the volume of foreign postal traffic is fairly well maintained.
An interesting feature of air mail service development during 1939 was the inauguration, in June last, by Pan-American Airways, of the direct Trans-atlantic air mail between the Shannon Airport, Newfoundland, Canada and the United States. This service, which was supplemented in August by flying boats of Imperial Airways, was maintained for mails and passengers until September, when the season's flying operations came to an end. For a time there were two services a week in each direction. A considerable amount of correspondence was conveyed, but a good deal of this was, of course, philatelic. It is anticipated that the service on the North Atlantic route will be resumed in May or June of this year for, it is understood, the conveyance of mails only.
In relation to the question of the use of air services for purposes of mail conveyance, I may mention that discussions were taking place last year with the British Administration regarding the feasibility of substituting air for surface conveyance between Eire and Great Britain on the termination of the existing contract with the London, Midland and Scottish Company for the service between Dún Laoghaire and Holyhead. The outbreak of the war, however, brought the discussions temporarily to an end.
The experimental suspension of postal delivery on Christmas Day was repeated last year, and I am now considering the question of making the arrangement a permanent one. While of material benefit to staffs affected, it has I think no disadvantages for the public, certainly none of particular importance. I desire to express my thanks for the splendid response to requests for early posting and also for the valuable assistance rendered by passenger-carrying companies in drawing public attention to the matter by the display of relative official notices.
The Foreign Money Order Services are still maintained though with some restrictions. Owing to exchange difficulties the service with Germany has been suspended by mutual agreement.
The Telephone Service continues to develop steadily. The revenue for 1938-39 amounted to £552,683, an increase of £41,628 on the total for the previous year. The revenue for last year continued to grow. The increase in telephone revenue is, in fact, wholly responsible for the growth in general revenue last year to which I have already referred. Expenditure on telephones is, however, growing by reason of increasing operating and maintenance costs.
The Telephone Capital Act of 1928 authorised borrowing up to a further £1,000,000 for development purposes, which brings the total amount provided by the State for telephone development since 1922 up to £2,725,000. Approximately £166,500 was spent on development in the last financial year, £135,000 of which was in respect of exchange equipment, additional trunks, underground works, and subscribers' circuits. The balance was for the provision of emergency stocks of "carrier" equipment and engineering stores. The number of telephone exchanges at the end of 1939 was 808, and of public call offices 1,492, including 159 street kiosks. Ten new exchanges and 20 call offices, including 18 kiosks, were opened last year. The number of subscribers' exchange lines increased by 1,180 to a total of 27,304, and the number of telephones in use by 1,739 to 44,260.
The number of local telephone calls in 1939 was 33,616,200, an increase of 2,759,700, and the number of trunk calls increased by 285,350, to a total of 3,791,150. The number of cross-Channel calls was 483,500, an increase of 84,250. There are at present 16 cross-Channel circuits in service, but it is expected that 12 additional circuits will be available before the end of the current year. Fifty-two additional internal trunks were provided last year, of which six were "carrier". These carrier circuits are of high efficiency, ensuring first-class speech transmission on long distance routes. There are now 50 such circuits in service and additions are planned for the coming year. A good deal has also been done in the way of improvement in the transmission efficiency of minor circuits throughout the country.