The Sun.
London, England, 1852-12-20 00:00:00

under those circumstances, and having alluded to the
observations made to them by his hon. friend, Mr.
Smith, at the last meeting, he thought, as the committee
of the House of Commons was to undertake this question,
it might perhaps be well not to discuss it further. He
(the chairman) felt strongly in favour of the principle,
and he had no doubt that it would be maintained, and
that a number of sensible men in the House of Commons
would come to the same conclusion ; but at the same
time, as a question of this great importance was about
to be submitted to one of the most influential and im-
portant tribunals made use of in this country for
the purpose of investigation, and with a view to
legislation, he thought it better perhaps to leave the
question open till the result of that inquiry was before
them. (Hear, hear.) In the meantime they must pro-
ceed with their measures—they must pursue their course
and they were about to apply to Parliament for their
sanction to this bill of amalgamation. If Parliament
should decide against the principle of amalgamation,
there would be then an end of the matter ; but if they
should decide in favour of the principle, he could not for
one moment doubt that a committee of the House of
Commons would sanction a request, or rather the una-
nimous wish he might say, of the directors and proprie-
tors of a large company like this. He hoped, therefore,
on the present occasion the proprietors would give their
sanction to this proposal for an amalgamation with the
North Staffordshire Company. This was a preliminary
measure. They all knew that the directors of this
company had been long anxiously endeavouring, he
would not say to make up the differences between
these two companies, but to unite the interests of both.
Many attempts had been made, but had failed, from
what cause he would not pretend to say—but per-

haps it arose from one Party over-estimating the
value of their property, and from the other under-
valuing it. Agreements had been made and were in
operation, but they had not answered the purpose of
amalgamation, nor had they been of the benefit they
were expected to be. Although there was an appear-
ance of unity of interest, there was always some mode
of action, which could be hardly accounted for, but
which prevented the public receiving the benefit they
had a right to expect from such a union of management.
He would only mention one fact. During the time
those agreements were in operation, the North Stafford-
shire Company—he-would not say wilfully or knowingly,
for it might be far otherwise—proposed bills to Parlia-
ment which were of a character decidedly hostile to the
interests of this company. He thought that was quite
sufficient to prove that such an agreement was insuf-
ficient, and to prove the necessity for some compact
more binding and secure. Let them look at the
position of the North Staffordshire Company, and
how their interests and those of the public had been
affected by the system which had been in operation
since the opening of the North Staffordshire line, and
the amalgamation of the London and Birmingham
Company with the Grand Junction Company, upon the
basis of a large union of railway management, which
had supplied the most commercial and populous district
of this country with railway accommodation— the dis-
_country with _

trict of Lancashire, Manchester, and Liverpool. At
that time the North Staffordshire was not in existence ;
and if they had not formed their line just at the very
heyday of railway speculation, or on the verge of the
decline of that period of railway prosperity, he believed
the London and North-Western Company would have
supplied the district of the Staffordshire Potteries and
_ _

the whole of the adjacent country with railway accom-
modation. But at that time there was an opinion pre-
vailing that competition was not only practicable, but
that it was for the interest of the public. Public opinion
WAS very much changed on that question. Experience
had proved, in the short existence of the railway system,
how delusive all the arguments were that were used in
favour of it every day, and there was now a strong con-
viction that a union of management upon a continuous
line of railways in any one district was much more con-
ducive to the public convenience and security. He was
satisfied of this, and he believed that opinion was gaining
ground every day throughout the country. In the case
of the North Staffordshire Railway Company it was evi-
dent from its position in the company, and from the pecu-
liar extension of its branches, that its efficiency might
not be materially diminished, but almost destroyed, for
the purposes of the country which it was meant to sup-
ply, unless it was worked in union with those large com-
panies which embraced it in every direction. They had
only to look at the map of the North Staffbrdshire Rail-
way Company ; there were 121 miles of railway included
within that company's limits, and it was difficult to say
which was the main line ; it was like a lobster over the
country, extending its claws all around. ; its points
touched five different places on the London and North-
Western line, and two upon the Midland line; and, not-
withstanding any traffic arrangements that might be
made, it was impossible, unless they were actually worked
together, that proper economy could be practised in the
working of that line so as to be conducive to the pros-
perity of the shareholders. He was only astonished that
this arrangement had not been made before. That might
be made the ground of an attack against the directors
of the London and North-Western for mismange-
ment ; it might be said that they had neglected the
duties due to their own company in not having done
this previously ; but, although there might be some
ground for those assumptions, he still would beg that their
verdict on that side might be withheld until all the cir-
cumstances and all the difficulties attending the carrying
out of this negotiation were made known. No doubt,
difficulties had existed to a great extent in carrying out,
not only this amalgamation, but they had found them in
whatever way they had turned in negotiating with other
companies ; and he trusted the proprietors of this great
company would make allowances for the difficulties
which the directors had always to contend with. (Hear.)
But he thought new light was dawning upon them now.
They found there was a necessity for that union in rail-
way management which formerly was considered only as
very desirable. The directors of these two companies
thought it to be their duty, therefore, to endeavour to
carry out this object effectually, and they agreed to refer
to arbitration the conditions on which a perpetual amal-
gamation should be formed ; and he thought they
adopted the only course likely to carry out that object,
for they selected two gentlemen, than whom he be-
lieved no two others could be found in this country
more qualified for undertaking the duty—namely, Mr.
Robert Stephenson and Mr. James Robert Hope.
(Hear, hear.) Those gentlemen had devoted their
time and their labour to that duty ; they had had be-
fore them the whole of the information that could be
required, and which could be afforded by the North Staf-
fordshire Company ; and the Jesuit was that they had
agreed to propose to these two companies the terms
which had been read to the meeting that day. Those
terms were very simple and easy of comprehension. He
did not now wish to go into the figures in making this
statement, because there they were before them in print.
They were very simple, and he relied with confidence on
the ability of those two gentlemen to estimate the value
of the North Staffordshire property. Some might think
the London and North-Western was called on to make
a sacrifice by the terms which were proposed. He for
one thought—and he believed the directors agreed with
him—that they might be called on at any time to make
sacrifices for the public good ; and if they willingly
submitted to those sacrifices, and were willing to
submit to the concessions which they might be called
on to make, he believed it would not ultimately be
injurious to their property. In considering the inte-
rests of the public, they were advancing their own inte-
rests ; and if any of the proprietors thought the terms
of the present amalgamation were disadvantageous
to this company, he would only ask them to put in the
balance the greater convenience and the greater accom-
modation afforded to the public by carrying out this ar-
rangement. But, looking at this matter simply as one
of loss or gain, the directors were satisfied that, notwith-
standing the apparently larger dividends proposed to be
given to this company than the returns in the public
lists showed that the North Staffordshire Company par-
ticipated in, the ultimate result would be no loss to this
company, while it would be a great advantage to the
public and all concerned in these two companies. His
opinion had always been that a union of railway man-
agement was desirable, for it conduced to economy
and advantage to the public ; and that union
of management would, he was persuaded, finally
put railway companies in a state much more
wholesome than they had hitherto occupied. After
his hon. friend Mr. Glyn had occupied the chair,
he knew it was great presumption for him (the chair-
man) to enter into these details, but at the same time he
had been anxious just to explain to them shortly what
was now submitted to them for their approbation, and
if any further information was required on the subject
he should be happy to give it as far as lay in his power.
(Hear, hear.) The details, however, were simple and
plain ; and he was confident the proprietors of this
company, who had already on all occasions shown their
confidence in the directors, would on this occasion con-
tinue it to them, and would hereafter acknowledge that
they had found the benefit of the recommendations
which the directors had ventured to make to them. He
would therefore move—

"That the circular issued to the proprietors, under the
date of the 4th December, 1852, having been considered,
the recommendations of Messrs. Hope and Stephenson, as
reported, be approved and adopted, and that the board of
directors be authorised and instructed to take such steps
as may be necessary and best calculated to give effect to
the same."

(Hear, hear.)
Mr BENSON seconded the motion.

Mr. PARSONS thought a strong indication had been
afforded by the conversation which took place in the
House of Lords as to the probable action of Par-
liament on the subject or amalgamations. He wished
to ascertain whether any large body of the pro-
prietors concurred on that subject. The late
Postmaster-General brought the mail service of this
company under the notice of the House of Lords, the
obvious inference from which was his wish for a very
large reduction in that service ; and some other peer
alluded on that occasion to the transfer of troops as nilsw
carried on by railway companies. He (Mr. Parsons)
wished to allude to the amalgamation with the Grand
Junction ction Railway Company. That was purchased by a
ve
large reduction on the part of the proprietary. At
that time the railway fare by ordinary train to Birm. ing-
ham was half ~
' much again as it is now, and the stock
1 of the London and North-Western Company stood at
nearly cent, per cent above what it did now. If the
reductions were at
of grave
time so very serious, amalgama. tion was a matter
ograve importance, when they con-
sidered the enormousprices now paid for labour in this i
pri
country, and the
the labour market consequent
on the large emigrations in
which were likely to take place.
If a large reduction was toin
submitted to in order to
obtain the amalgamation
the shareholders.
he thought the
result would be disastrous 4)1
_._
~
._,egged
to return
Mr. GLYN, M p 1,
his very best
thanks to his hon. friend in the chair fori the terms in
which had thought fit to introduce
name to the meeting—terms which he sfeliMcrOull4l7ll'lBy)
have been called forth from a consideration of friendship
which he was happy to say had subsisted between them',