In the case of four representative railways, English, Scotch, Irish and Welsh, wages and salaries alone showed the following increases:—
| 1913 | 1920 | |
| London and North-Western | £6,000,000 | £20,000,000 |
| North British | £1,660,000 | £6,600,000 |
| Great Northern (Ireland) | £357,000 | £1,406,000 |
| Taff Vale | £384,000 | £1,187,000 |
War-time concessions consisted mainly of the flat-rate allowances of 33s. per week, reached by successive increases in view of the rising cost of living, but after the Armistice action was taken by the Railwaymen's Unions in respect of the eight-hour day (granted from Feb. 1 1919), standardizing of wages and grading. The eight-hour day caused many difficulties and is necessarily costly, especially as it had to be equalized for many men whose wages were not calculated on that basis. Throughout 1919 there were continual labour difficulties, and a serious strike lasted from Sept. 26 until Oct. 5, settled by an agreement that no reductions in wages should occur before Sept. 30 1920, and the whole matter thoroughly explored. In Oct. 1919 Central and National Wages Boards were set up. In Jan. 1920 an agreement was announced providing for an addition to the wages of each grade of 38s. per week and for cost of living allowances rising or falling in accordance with Board of Trade figures, with standardized rates of pay which should not fall below 100% over pre-war rates. This was at first objected to, but was accepted on Jan. 15 1920. Subsequent negotiations dealt with supervisory and other grades. Certain further advances were given in June 1920, and in view of the accompanying costs of materials and supplies it will be understood that these additions much more than balanced the alleged railway “subsidies.”
Ministry of Transport.—An announcement, apparently unauthorized, by Mr. Winston Churchill in Dec. 1918, that nationalization of the railways was contemplated caused a great deal of misunderstanding. There were, however, many matters requiring attention, and these together resulted in the bill for establishing a Ministry of Ways and Communications presented to Parliament in Feb. 1919. As first introduced its contemplated scope and powers were considered to be too far-reaching, but in a modified form it was passed as the Ministry of Transport Act, receiving Royal Assent on Aug. 26 1919, the Ministry being established as from Sept. 23 1919. The Ministry took over several sections of existing departments, including the Railway Department of the Board of Trade and the Roads Board. The Railway Executive Committee continued as such until Jan. 1 1920, but most of its members were retained on the Railway Advisory Committee. Various other advisory and reporting committees have since been established.
Rates, Fares and Charges.—Apart from the 50% increase in ordinary passenger fares, and of 10 to 20% increases in season-ticket charges, railway rates remained as in pre-war years until the Ministry of Transport announced increases in demurrage rates as from Jan. 1 1920, and of 50% on goods rates as from Jan. 15 1920. These were followed on Aug. 6 by further increases bringing ordinary passenger fares up to 75% and season tickets 50% over pre-war rates, and from Sept. 1920 workmen's tickets were increased, and goods rates raised to substantially 100%. On Dec. 22 1920 the Rates Advisory Committee of the Ministry of Transport reported on the general question of rates and charges, and their recommendations materially influenced the Railway Bill placed before Parliament on May 11 1921.
Grouping and the Future of Railways.—One of the provisions of the Ministry of Transport Act was that a policy for the future of the home railways should be promulgated within two years. An outline of proposals was issued in July 1920, suggesting, inter alia, the amalgamation of railways into groups as follows: (1) Southern, combining the South-Eastern & Chatham, the Brighton, and the South-Western; (2) Western, the present Great Western system with the Welsh lines; (3) North-Western, combining the North-Western, the Midland and the Lancashire & Yorkshire, North Staffordshire and Furness; (4) Eastern, combining the Great Northern, the Great Central, and the Great Eastern; (5) North-Eastern, the present North-Eastern system and the Hull & Barnsley; (6) London Group (local lines); and (7) a Scottish Group for the whole of Scotland. These proposals were severely criticized, and the Railway Companies' Association adopted the following alternative: Group 1, London & North-Western, Midland, Lancashire & Yorkshire, North Staffordshire, Furness, Caledonian, Glasgow & South-Western, and Highland railways; Group 2, Great Central, Great Northern, Great Eastern, Hull & Barnsley, North-Eastern, North British, and Great North of Scotland railways; Group 3, Great Western and Welsh lines; Group 4, London & South-Western, London, Brighton & South Coast, and South-Eastern & Chatham railways; Group 5, London railways (local lines). On May 11 1921 the promised bill was placed before Parliament, and embodied the following modified scheme: (1) Southern Group, London & South-Western, London, Brighton & South Coast, South-Eastern, and London Chatham & Dover railways; (2) Western Group, Great Western and Welsh railways; (3) North-Western and Midland Group, London & North-Western, Midland, Lancashire & Yorkshire, North Staffordshire and Furness railways; (4) North-Eastern and Eastern Group, North Eastern, Great Central, Great Eastern, Great Northern and Hull & Barnsley railways; (5) West Scottish Group, Caledonian, Glasgow & South-Western and Highland railways; (6) East Scottish Group, North British and Great North of Scotland Railways. During proceedings in Committee of the House of Commons the 5th group was combined with the 1st, and the 6th with the 2nd, substantially as proposed by the Railway Companies' Association, and the Act, which received Royal Assent on Aug. 19 1921, therefore provides for four groups only:—Southern; Western; North-Western, Midland and West Scottish; North-Eastern, Eastern and East Scottish. Amalgamation is to become effective on July 1 1923. The proposed London group was dropped in view of proposals for the setting-up of a London Traffic Board. Provisions were also made for the inclusion of representatives of the Railwaymen's Unions in association with railway officers on advisory councils, etc. (not as directors as at first claimed), and for the continuance of the Central, National and local Wages Board. It was considered that these provisions, some of which represented agreements already made in conjunction with the fare and rate increases in force according to the proposals of the Rates Advisory Committee, would enable the railway companies to operate under solvent and economic conditions on the termination of control on Aug. 15 1921. In regard to amalgamation it may be mentioned that early in 1921 preliminary arrangements of this character had already been made in regard to the North-Eastern and Hull & Barnsley railways, and the London & North-Western and Lancashire & Yorkshire railways, in addition to several smaller companies to be absorbed by their larger neighbours. The chief difficulty, in fact, was in regard to Scottish railways, which, it was claimed, would be so seriously affected that they could not hold their own in a group by themselves, the alternative of amalgamation with appropriate associated English companies being favoured. Hence the altered grouping adopted by the Act as finally passed. Control was actually terminated at midnight on Aug. 15 1921.
Restoration of Facilities.—During the war many usual facilities of travel were withdrawn, but during 1920-1 a number were restored, as follows: pre-war luggage allowance for passenger-train traffic, June 14 1920; passengers' luggage in advance, July 1 1920; day excursion tickets, Aug. 12 1920; period excursion tickets, Dec. 24. 1920; week-end tickets, May 11 1921 (deferred, owing to the coal strike, until Aug. 20, and Aug. 19 in the case of commercial travellers). G.E.R. continental services were resumed Feb. 25 1919; L.B. & S.C.R., June 1 1919; the Dover-Calais route, S.E. & C.R., Jan. 8 1920; and the Hull and Zeebrugge route, N.E. and L. & Y. railways, May 14 1920. Express-train running was rapidly restored to a good level during 1920, and though still below pre-war standards the main line services on all routes became very creditable in July 1921, both for speed and number. On some lines, indeed, pre-war schedules were definitely reinstated, and in certain instances facilities were even better than before the war. The suburban traffic problem was, however, still serious. On the “Underground” lines new rolling stock, when delivered, materially eased the inevitable congestion. An arrangement had been made during the war whereby the associated “Underground” railways, of which the
