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5.     The estimated annual variable costs on the two London Midland branches have been reduced from £33,000 for steam services to £15,000 for the diesel rail buses.

Eastern Region Movement Costs Gross Passenger Earnings Margin
  Per Annum Per Train Mile Per Annum Per Train Mile  
  £000 s.d. £000 s.d. £000
Displaced steam services 87.6 9.3 11.2 1.2 -76.4
Diesel Rail Bus services 25.5 2.10 13.4 1.6 -12.1
  -62.1   +2.2    

Details of reduction in variable costs and earnings not available for the Scottish Region.

In spite of the reduction in movement costs there is little possibility of making unremunerative branch passenger services profitable.

6.     The buses are unsuitable for the conveyance of bulky parcels, bicycles, perambulators, fish, etc. and alternative arrangements are necessary to convey such traffic by road or parcels van on freight services.

7.     There have been mechanical and electrical failures of equipment, but it has been possible to overcome these teething troubles. At present the vehicles cannot be relied upon to actuate track circuits. This has restricted their use and special instructions have been issued to ensure safe working.

8.     During late July and August two-car diesel trains had to be used in the Witham area in place of rail buses, to deal with seasonal traffic.

9.     While this should be regarded as a preliminary report, the London midland Region have stated that further vehicles of this type should not be introduced.

 

GENERAL STAFF
12th December, 1958.

12th December 1958
Memo to the B.T.C.