TELEPHONES AND THE STATE.
[To THE EDITOR Or Tor “ErZoTATOR."1
Srs,—The reviewer of Mr. Meyer's book on "British State Telegraphs" (Spectator, February 29th) is under a complete misapprehension as to municipal telephone operations in at least one instance. A few years ago the Government encouraged municipalities to start exchanges (I believe with a view to putting pressure on the National Telephone Company, which threatened to obtain something like a monopoly). Brighton established one which was very suc- cessful, and continued to succeed in open rivalry with the National Telephone Company's system. But when the Government came to terms with the National Telephone Company as to buying them up in 1911 they also refused the Brighton Corporation permission to borrow any more capital required for the constant extension of the system, and in the circumstances Brighton unwillingly sold its system to the Post Office for a sum which almost exactly paid for the expenditure incurred to date. The result is that either now, or very soon, Brighton will have its telephone
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