The Sun.
London, England, 1858-10-05 00:00:00

RAILWAY INTELLIGENCE.

RAILWAYS IN THE UNITED KINGDOM.
Captain Douglas Galton, R.E., in a very able
and elaborate report to the Lords of the Privy
Council for Trade on Railways for the year 1857,
states that the number of railway Bills which came
before Parliament in the session of 1857 amounted
to 130, and the length of new line proposed to be
authorised amounted to 1,470 miles. But of those
Bills only 82 were passed ; and the total length of
line actually authorised was 663 miles. Of the 82
Acts passed in 1857, 53 had reference to the con-
struction of works. The length of new line autho-
rised by these 53 Acts was as follows, viz. :-344
miles in England and Wales, 169 miles in Scotland,
and about 150 miles in Ireland. Twenty-eight
Acts authorised new lines and branches in new
districts ; 26 Acts authorised the opening out of a
new access to an existing district, or the supply of
additional routes between districts already supplied,
and which therefore formed competing lines ; 13
Acts authorised one company to use the station of
another company or a small portion of a line adja-
cent to a station ; 35 Acts authorised working
arrangements; 6 Acts authorised companies to be
permanently united by amalgamation ; 15 Acts
authorised companies to carry on some work or
occupation not within the provision of their Acts.
The lines authorised in England and Wales were
chiefly extensions of existing railways, or short
lines which will when opened form feeders to
existing railways.
The total length of line authorised by Parliament
down to the end of 1857 amounted to 15,331 miles,
but of this 1,504 miles have been abandoned by
subsequent local Acts, or by warrants under the
authority of a general Act passed in 1847, and con-
sequently there remain 13,827 miles for which the
Parliamentary powers have not been repealed ; of
these 9,019 miles were open at the end of 1857, and
4,808 miles remain to be opened-namely, 3,307
miles in England and Wales, 573 miles in Scot-
land, and 928 miles in Ireland. 384 miles of
new line were opened during 1857, of which 322
were opened in England and Wales '4B in Scotland,
and 14 in Ireland. Out of the 4,808 nines which have
not yet been opened the powers with respect to 2,356
miles for the compulsory, purchase of land and the
completion of works have expired. Upon 234
miles the powers for the compulsory purchase of
land have been allowed to expire without having
been exercised, increasing the number of miles
which it is not probable will ever be made to 2,590
miles. Tile total amount of money authorised to be
raised by railway companies by shares and loans,
to the end of 1857, was 387,051,7351., of which
314,989,8261. had been raised, leaving 72,061,909/.
to be raised. There are means of ascertaining how
much of this sum appertains to the portions of rail-
way for which the. Parliamentary powers have ex-
pired. On the 9,116 miles open for traffic on the
31st of December,lBs7, 6,777 miles are in England,
1,269 in Scotland, and 1,070 in Ireland ; 7,053
miles are constructed on the narrow gauge, 740
miles on the broad gauge, 261 miles on the mixed
gauge, and 1,062 miles on the Irish gauge. There
are 2,775 miles of single line, of which 1,797 are
narrow gauge, 255 broad gauge, 72 mixed gauge,
and 651 Irish gauge. The length of new line re-
ported to be in course of construction on the 30th
of June, 1857, was 1,004 miles; of these about 23
miles were opened before the end of 1857 ; and the
number of persons employed on them was 44,037,
being on the average 43.86 persons per mile. The
length of line open for traffic in the United King-
dom on the 30th of June, 1857, was 8,942 miles, and
the number of persons employed thereon amounted.
to 109,660, or 12.26 per mile. The number of sta-
tions was 3,121. With regard to the money in-
vested in railways the report states that the capital
raised for the construction, of railways on the 31st
of December, 1857, amounted to 314,989,6261., re-
presenting an expenditure of 34,9501. per mile of
railway open. In making this estimate it must be
recollected that the lines reported to be in course of
construction amount in length to about one-ninth
of the whole length completed and in course of con-
struction, and that some portion of the cost per
mile belongs to these lines. Although the cost
of railways in the United Kingdom averages
34,9501. per mile,-viz., 39,275/. in England,
28,225/. in Scotland, and 5,664/. in Ireland, the ave-
rage cost of the independent lines of railway for
which the acts have beenobtained sincelB4Bandwhich
are now opened for traffic, has only amounted to
£11,823 per mile ; of these railways those opened
in England have averaged £14,559 per mile; those
opened in Scotland £7,243 per mile ; and those
opened in Ireland 7,3031. per mile. Of the total
amount raised 78,360,236/. has been raised by loans,
58,061,655/. by preference shares, and the remain-
der, viz., 236,629,590/., by ordinary share capital.
The gross receipts on railways in the United
Kingdom amounted in the year 1857 to 24,174,610.;
the working expenses amounted to 11,362,066/. ;
the interest on preference shares to 2,826,005/., be-
ing at the rate of 4.86 per cent. ; the interest on
loans to 3,548,451/., or at the rate of 4.52 per cent.;
leaving 6,438,088/., being at the rate of 31. 12s. per
cent., available for dividend on the whole of the
ordinary share capital. In 1849 the average rate
of dividend on the ordinary share capital of rail-
ways was 1/. 17s. 6d. per cent. ; in 1850 1/. 16s.
6d. per cent. ; in 1851 2/. Bs. 9d. per cent,. ; in 1852
2/. Bs. per cent; in 1853 3/. Is. per cent.; in 1851
3/. Bs. per cent. ; in 1855 3/. 2s. 4d. ,per cent. ; in
1856 3/. Bs. per cent., and in 1857 3/. 12s. per cent.
The preferential and loan capitals invested in
railways at the end of 1857 amount to 43 per cent.
of the whole capital ; and the interest which has
to be paid upon the preferential and loan capital
averages 4.67 per cent. The net receipts on rail-
ways give an average interest on the whole capital
invested of 4 per cent., but the preferential charges
reduces the interest on the ordinary capital to 3.60
per cent.
During the year 1857 6,213,932/. of additional
capital was invested in railways, being an addition
of about 2 per cent. on the capital previously raised.
It was not, however, all invested in new lines of rail-
way, for the existing lines which have had no addi-
tions to their length for several years have con-
tinually increased their capital. Thus upon 29
railways, having an aggregate length of 1,200
miles, the capital increased from 39,000,000/. on
the 31st of December, 1853, to 43,000,000/. on the
31st of December, 1857, or at the rate of above 600/. 1
per mile per annum ; the proportion which the
net receipts bore to the capital invested in these
lines increased during the same period from 3.4 per
cent to 4.2 per cent. The traffic on railways has
always increased, and so long as the proportion of
the net traffic receipts to the capital expended in-
creases in each year it may be assumed that the
property is in a sound condition. At present this
is the case with the British railways. Leaving out
of consideration the preferential charges, the net
receipts in England gave a dividend of 3.78 per
cent. in 1854, and 4.26 per cent. in 1857 ; in Scot-
land the net receipts were 3.36 per cent. on the
capital in 1854 and 4.09 per cent. in 1857 ; and in
Ireland the net receipts were 3.42 per cent. on the
capital in 1854 and 4.38 per cent. in 1857.
The proportion of the passenger traffic to the
whole traffic in England was 44 per cent., in Scot.
land 36 per cent., and in Ireland nearly 59 per
cent. The total number of passengers conveyed on
railways in 1857 amounted to 139,008,888, against
129,347,592 conveyed in 1856; the number con-
veyed per mile of railway open being 15,617 in
1857, against 15,213 in 1856. The reeepits from
passengers amounted to 10,592,7981. in 1857,
against 10,153,7451. in 1856; the receipts per mile
being 1,191/. in 1857 and 1,194/. in 1856. The
receipts per mile for first-class passengers amounted
in England to 416/., for second-class to 476/., and
for third-class to 442/. ; in Scotland the receipts
per mile for first-class passengers amounted to 2041.
per mile, for second-class to 146/., aid for third•
class to 384/. ; in Ireland the receipts amounted for
first-class passengers to 154/., for second-class to
234/., and for third-class to 230/, per mile. 'While
the first-class traffic has only increased 3.19 per
cent. since 1849, and the second-class traffic has
actually diminished 11.4 per cent., the third-class
receipts per mile have increased 25 per cent.
The receipts on Dutch railways from third-
class passengers are more than one-half of the
whole receipts ; on British railways the receipts
from third-class traffic are one-third the total
receipts. In France the receipts from the
third-class amount to 43 per cent. of the whole,
the second-class being 28 per cent., and the first-class
29 per cent. On continental railways nearly three-
fourths of all the passengers who travel are third
class, the remainder being either first or second

class. In Scotland the third class passengers are
73 per cent. of the whale number who travel, the
remainder being first and second class in nearly
equal proportions. The proportion of first-class
passengers to the whole number of passengers who
travel is from 12f to I`,ll per cent. in England,
Scotland, and Ireland.

The receipts from goods, cattle, minerals, parcels,
&c., in 1857 amounted to 13,581,812/. against
13,011,7481. in 1856, which represented 1,5241. per
mile in 1857, and 1,5301. per mile in 1856. Those
receipts include 7,781,743/. for the conveyance of
25,027,927 tons of merchandise, 3,987,2911. for the
conveyance of 46,293,98.3 tons of minerals, 517,3581.
for the conveyance of 11 ,045,160 head of live stock,
and 1,295,4291. for pare els, &c.
The total receipts fro'ai all sources of traffic have
amounted in England and Wales to 20,527,7481., or
3,1051. per mile, in 18 57, against 19,728,3111., or
3,1201., in 1856 ; in Scothind to 2,510,4781. or 2,0401
per mile, in 1857, against 2,319,2171., or 2,0221. per
mile, in 1856 ; and in Ireland to 1,145,3841., or
1,0761. per mile, in 1F457, against 1,117,9651., or
1,092/. per mile, in 1856, the aggregate receipts
from all sources of trafi for the whole kingdom
having been 24,174,61661., or 2,7151. per mile, in
1857, against 23,165,4931., or 2,724/. per mile, in
1856.

The working expenses of railways have increased
in England 'and Wales from 1,3521. per mile in
1854 to 1,5641. in 1857 ; but they have decreased in
Scotland from 961/. in 1854 to 941/. in 1857 ; and
in Ireland from 465/. in 1854 to 464/. in 1857. The
proportion which the working expenses have borne
to the receipts has been 48 per cent. in England
and Wales, as compared with 49 per cent. in 1856 ;
44 per cent. in Scotland, as compared with 47 per
cent, in 1856 ; and 38 pei• cent. in Ireland, as com-
pared with 39 per cent. in 1856 ; the general ave-
rage having been 47 per cent. upon the gross re-
ceipts both in 1856 and 1857. The maintenance of
way absorbs 15 per cent. of the expenditure, the
locomotive expenses, including repairs of rolling
stock, 38 per cent., traffic chilrges 26 per cent.,
police, watchmen, compensation, iSzc., 13 per cent.,
and rates and Government duty 7 per cent. The
cost of coal • and coke in England averages 2.9 d.
per mile run by engines, in Scotland 2.58 d. per
mile, and in Ireland 3-94 d. per mile run ; the
general average being 2.67 d. per mile. A very
important improvement for cheapening the work-
ing of railways is being effected by the introduc-
tion of coal-burning engines which consume their
own smoke. The London and South-Western
engines, under Mr. Beattie, have been successful,
and are stated to average a consumption of 181 b. of
coal per mile, and the average cost of fuel on that
railway has been 2.69 d. per mile, and 104 miles
have been run per ton of coal and coke, when on
other railways similarly situated the cost has been
3d. and 31d. per mile : and from 80 to 92 miles
only.have been run per ton of coke. There is room
for improvement in the amount of non-paying
weight in trains, in proportion to the weight of the
loads. An ordinary first-class carriage gives, if
full, an average probably of 7001 b. dead weight per
passenger, and an ordinary third-class carriage
gives nearly 3001 b. dead weight per passenger.
With regard to the local rates and taxes on rail-
ways in England, they amount to 7.72 per cent, of
the dividend on ordinary share capital, and the
passenger duty to 5.99 per cent., making:l3.7l per
cent., and of the dividend on the total share capital
9.61 per cent. In Scotland the rates and taxes
amount to 5.97 per cent., and the passenger duty to
4.41 per cent. of the dividend on the ordinary share
capital, or 6.87 per cent. of the dividend on the
total share capital. In Ireland the rates and taxes
amount to 5.29 per cent. of the dividend on the
ordinary share capital, and 4.27 per cent. on the
dividend of the total share capital. Passenger duty
is not charged on Irish railways. The most oppres-
sive part of the burden of local taxation is the liti-
gation to which the parish rates give rise. Besides
which the railway companies themselves are in
many cases the largest ratepayers in the parishes ;
and, consequently, if they gain their cause they
have to contribute towards the expense of the con-
test by an increased rate.
The average receipts per train mile in England
are 64.8 d. for passengers, 76.6 d. for goods, and
70.3 d. the general average • the expenditure per
train mile is 32.9 d., and the working expenses 48
per cent. of the receipts. In Scotland the receipts
per train mile are 62.6 d. for passengers, 67d. for
goods, and 65d. the average ; the expenditure per
train mile being 28.3 d., and the receipts 44 per
cent. In Ireland the receipts per train mile average
for passengers 54.5 d., for goods 82.6 d., and general
average 60.7 d. The expenditure per train mile
being 25d. and 38 per cent. of the gross receipts.
The average receipt per passenger is 18.29 d. in.
England, 14.68 d. in Scotland, and 18.74 d. in Ire-
land. The receipts for goods traffic on railways, in
1857, averaged 74d. per ton, for minerals 20d. per
ton, and for cattle and sheep 11d. per head. It is
notorious that in many cases the rates received,
while they give an apparently large gross receipt, tell
seriously against the expenditure of the companies.
The report states that it is worth considering how far
traffic which has to be sought at a great cost re-
pays the trouble of seeking it, for the business of
carrying is just as much a trade as any other busi-
ness, and is subject to the same laws ; and railway
management can only be successfully carried on by
knowing accurately the cost of every service to be
rendered, and not performing any service at a loss.
It thus appears that careful and honest manage-
ment alone will place and maintain railway pro-
perty in a satisfactory position. But the property
is so vast and the management so complicated that
it is almost impossible for shareholders to examine
for themselves the details of the several transac-
tions, even if they possessed the 'power, which they
do not, and hence the surest incentive to
.good ma-
nagent is wanting—viz., the rigid supervision of per-
sons interested in the concern. In the absence of this
incentive publicity of accounts seems to be the best
safeguard. The accounts should show in a detailed
manner the cost of work done, the remuneration
received for it, and the condition of the means for
carrying on the business. The correctness of the
accounts should be certified by an efficient audit,
not only of the accounts, but of the several transac-
tions of the company, established in the interests of
the shareholders ; a direct responsibility being
placed on those to whom the management of the
lines is confided.