Sir Eric Geddes issued on Friday week a statement of
the results of the State control of the railways during the war. It would seem that, after paying the guaranteed dividends to the shareholders, the Government made a net profit of from two to seven millions on the transaction, while they had free use of the railways for naval and military traffic. But Sir Eric Geddes added that against the net profit must be set undefined liabilities for arrears of maintenance, stores to be replaced, and excessive wear and tear. For the current year he estimates a deficit of £45,000,000, owing to the rise in the railwaymen's wages and in the price of coal. This deficit may be increased as the result of the railway strike, or lessened if the goods rates are soon raised. Government traffic is now charged for, like ordinary traffic. The effect of the generous concessions to the railwaymen may be seen in the increase of the railway expenditure from £85,028,000 in 1915 to an estimated £173,500,000 for this year.
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