Part 26

The Post Office, moreover, as a public undertaking, cannot bargain freely for special facilities or terms with individuals or firms having large numbers of parcels for delivery within a limited area. Without such specialization the Post Office must often be unable to offer the most economical service, and private carrying agencies secure the business. In those countries where a parcel post is in operation, the Post Office does not rank as a transportation agency comparable with those of the commercial world. The traffic which it secures is private and personal rather than commercial, to a large degree exceptional traffic which the machinery of the ordinary commercial transportation agencies cannot, or at any rate in general does not, deal with--traffic for remote and isolated residences, spasmodic in character, and, compared with the total traffic in parcels, small in amount.[671] The uniform rate favours such traffic, but the expense to the Post Office is disproportionate to the revenue. From the broader standpoint this is perhaps not altogether loss to the State, since by this means local industries are often brought in touch with markets which could not otherwise be reached, and the rural population is enabled to obtain from the towns many amenities not otherwise procurable.

Viewed in the light of these considerations, and especially of the fact that it is open to competition at all points where its rates would prove profitable, it will not appear extraordinary that the parcel post is less successful financially than the letter post.[672] The conditions under which postal business is conducted render it impossible to earmark the expenses properly chargeable to the parcel post, since expenses are for the most part incurred jointly. But the parcel post is to a large extent a secondary service engrafted on the letter post, and is perhaps not properly chargeable with a mathematical proportion of the total cost of the two services based on the relative cost of handling individual letters and individual parcels. Theoretical estimates of the cost of the parcel post must, therefore, be accepted with reserve. But a proved moderate loss on the parcel post would not be conclusive against the propriety of its maintenance. Postal rates are simple, definite, and generally known; and every post office is a receiving agency. It is convenient to use the post, which offers the further advantages of quick transmission, and the greater degree of security attaching to a State institution. The line on which a postal service for small parcels can best be justified is that by the utilization of existing machinery for the disposal of additional traffic, not so large as to overburden or disorganize the practical arrangements, a useful public advantage can be secured without inordinate cost. Nevertheless, the parcel post service is not a true postal service, but rather a commercial undertaking.[673] The question of the legitimacy of State control, which in the case of the letter post is of academic interest only, is therefore of real importance in the case of a parcel service, and those who have a distrust of all State interference in industry may legitimately argue that it should stand aside from the parcel business.

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APPENDIXES

APPENDIX A

I. RATES OF INLAND LETTER POSTAGE CHARGED IN ENGLAND, 1635-1915

WITHERINGS' RATES, 1635.

| Single | Double | | Letter. | Letter. | Per ounce. -------------------------------+---------+---------+----------- Under 80 miles | 2d. | 4d. | 6d. 80 miles and not exceeding 140 | 4d. | 8d. | 9d. Above 140 | 6d. | 12d. | 12d. To or from Scotland | 8d. | | " " Ireland | 9d. | After 2 ounces, | | 6d. the ounce. -------------------------------+---------+--------------------- --Royal Proclamation of 31st July 1635.

This was the introduction of postage in the modern sense. The object of the exceptional rate for Ireland was to avoid interference with a Proclamation recently issued there by the Lord Deputy and Council.

"A single letter is one written on one sheet of paper sealed; a double letter is one sheet of paper which covers another sheet sealed up; a treble letter proportionately."--_Calendar of State Papers_ (_Domestic Series_), 1658, p. 368.

ORDINANCE OF 1657.

For every Letter |If Single.|If Double.|Per ounce. ----------------------------------------+----------+----------+---------- | s. d. | s. d. | s. d. To or from any place within 80 miles | | | of London | 0 2 | 0 4 | 0 8 At a further distance than 80 miles | 0 3 | 0 6 | 1 0 To or from Scotland | 0 4 | 0 8 | 1 6 To or from Ireland | 0 6 | 1 0 | 2 0 In Ireland-- | | | To or from any place within 10 miles | | | of Dublin | 0 2 | 0 4 | 0 8 At a further distance than 40 miles | 0 4 | 0 8 | 1 0 ----------------------------------------+----------+----------+---------- --H. Scobell, _A Collection of Acts and Ordinances_, London, 1658, p. 512.

ACT OF 1660 (12 CAR. II, CAP. 35).

|On Single|On Double| | Letter. | Letter. |Per ounce. -------------------------------+---------+---------+---------- From London-- | d. | d. | d. 80 miles and under | 2 | 4 | 8 Above 80 miles | 3 | 6 | 12 To or from Berwick | 3 | 6 | 18 From Berwick within Scotland-- | | | 40 miles and under | 2 | 4 | 8 Above 40 miles | 4 | 8 | 12 To or from Dublin | 6 | 12 | 24 From Dublin within Ireland-- | | | 40 miles and under | 2 | 4 | 8 Above 40 miles | 4 | 8 | 12 -------------------------------+---------+---------+----------

N.B.--There were no cross posts. Between two towns not on the same post road, however near, letters could circulate only through London, and whenever a letter passed through London an additional rate was imposed, e.g. from Bristol to Exeter (less than 80 miles) a letter would be sent via London and charged two rates for over 80 miles.

1711 (9 ANNE, CAP. 10).

|Single.|Double.| Ounce. --------------------------------------------+-------+-------+------- From London-- | d. | d. | d. 80 miles and under | 3 | 6 | 12 Above 80 miles | 4 | 8 | 16 To Edinburgh | 6 | 12 | 24 To Dublin | 6 | 12 | 24 From Edinburgh within Scotland-- | | | 50 miles and under | 2 | 4 | 8 Above 50 miles and not exceeding 80 miles| 3 | 6 | 12 Above 80 miles | 4 | 8 | 16 From Dublin within Ireland-- | | | 40 miles and under | 2 | 4 | 8 Above 40 miles | 4 | 8 | 16 --------------------------------------------+-------+-------+-------

The initial charge was raised from 2d. to 3d. The area of the penny post delivery was therefore restricted to the 10-mile circle from the General Post Office. Previously, towns within about 20 miles had been served by the penny post, but an additional penny was charged for all packets delivered in the suburbs.

1765 (5. GEO. III, CAP. 25).

For Great Britain-- Not exceeding one post stage 1d. For England only-- Over one and not exceeding two stages 2d.

No change was made in other inland rates.

1784 (24 GEO. III, SESS. 2, CAP. 25).

The rates of 1765 were increased by 1d. for a single letter for distances under 150 miles, and 2d. for greater distances.

1796 (37 GEO. III, CAP. 18).

Within England, Wales, and Berwick-- For a Single Letter. Not exceeding 15 miles 3d. From 15 to 30 miles 4d. " 30 to 60 " 5d. " 60 to 100 " 6d. " 100 to 150 " 7d. Over 150 miles 8d.

Within Scotland--

In addition to existing rates 1d.

1801 (41 GEO. III, CAP. 7).

Within Great Britain-- Not exceeding 15 miles 3d. 15 to 30 miles 4d. 30 to 50 " 5d. 50 to 80 " 6d. 80 to 120 " 7d. 120 to 170 " 8d. 170 to 230 " 9d. 230 to 300 " 10d. For every 100 miles above 300 1d.

1805 (45 GEO. III, CAP. 11).

Within Great Britain, in addition to existing rates--

1d. for a single letter 2d. " double " 3d. " triple " 4d. " an ounce letter.

1812 (52 GEO. III, CAP. 88).

Within Great Britain-- For a single Letter. Not exceeding 15 miles 4d. Above 15 but not exceeding 20 miles 5d. " 20 " " 30 " 6d. " 30 " " 50 " 7d. " 50 " " 80 " 8d. " 80 " " 120 " 9d. " 120 " " 170 " 10d. " 170 " " 230 " 11d. " 230 " " 300 " 12d. " 300 " " 400 " 13d. " 400 " " 500 " 14d. " 500 " " 600 " 15d. " 600 " " 700 " 16d. " 700 miles 17d.

These rates were re-enacted by I Vict., cap. 34, [S] 3. The usual increased charges for double, treble, and ounce letters applied throughout. Additional rates were charged in respect of conveyance by packet boat, e.g. for a single letter between Holyhead and Dublin, 2d.; in respect of Menai Bridge, 1d.; in respect of Conway Bridge, 1d.; and in respect of any letter conveyed in Scotland by a mail carriage with more than two wheels, 1/2d. (See 1 Vict., cap. 34, [S][S] 3, 5, 6 and 7).[674]

By 2 and 3 Vict., cap. 52, the Treasury was empowered to regulate rates of postage, and subsequent changes have been made by Treasury Warrant.

1840.

Not exceeding 1/2 ounce (uniform rate 1d. irrespective of distance of transmission). " 1 ounce ( " " " ). 2d. For each additional ounce, or fraction of an ounce, 2d.

1865.

Rate for letters exceeding 1 ounce in weight reduced to 1d. for each 1/2 ounce, or fraction of 1/2 ounce, after the first ounce.

1871.

Not exceeding 1 ounce 1d. " 2 ounces 1-1/2d.

For every additional 2 ounces or fraction of 2 ounces up to 12 ounces, 1/2d.

For letters exceeding 12 ounces in weight, 1d. per ounce, including the first ounce.

1885.

Rate of 1/2d. per ounce after the second ounce continued without limit.

1897.

Not exceeding 4 ounces 1d.

For every 2 ounces, or fraction of 2 ounces, thereafter, 1/2d.

1915.

Not exceeding 1 ounce 1d. " 2 ounces 2d.

For every 2 ounces, or fraction of 2 ounces, thereafter, 1/2d.

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II. FOREIGN RATES IN THE BRITISH SERVICE

One of the earliest regular posts in England was the post to Dover, established for the transmission of despatches to and from the Continent.[675] This post early assumed considerable importance relatively to the other posts. The settlement of foreign artisans in this country, in consequence of the persecutions on the Continent, naturally led to the growth of a considerable intercourse with places abroad. There was besides a large cloth trade. Letters were not, however, sent exclusively by the King's post. Frequently the merchants made their own arrangements for the conveyance of their letters; and since one of the functions of the post in those days was to enable the authorities to keep a close watch on all correspondence passing within the realm, in order that conspiracies against the State might be detected, this proceeding of the merchants was viewed by the Government with much jealousy. It led to the first assumption by the State of the monopoly of the carriage of letters. In 1591, before the use of the posts for the transmission of inland letters for private individuals had been officially recognized, a royal proclamation forbade the conveyance of letters to or from places outside the realm except by the King's post. A further proclamation to the same effect, so far as it related to foreign letters, was issued in 1609.[676]

In 1619 the foreign post was separated from the ordinary post, and a foreigner, Matthew De Quester, who had been appointed by Lord Stanhope, then Master of the Posts, to superintend the foreign post, was appointed to control the service. In 1626 De Quester published the following tariff applicable to foreign letters:--

To or from the Hague, Brussels, Paris, and Vienna 30s. To or from any part of Germany 6s. From Venice for a single letter 9d. From Venice for any letter other than a single letter 2s. 8d. From Leghorn and Florence for a single letter 1s. From Leghorn and Florence for any letter other than a single letter 3s. the ounce.[677]

The tariff was incomplete, but is noteworthy as the first set of rates of any description issued in England for the conveyance of letters by post. Stanhope had charged certain fees on letters for the Continent. On letters to or from Amsterdam or Hamburg, for example, his fee had been 8d.[678] But, until this time, no general table of rates had been issued.

By the Ordinance of 1657[679] the following rates for foreign letters were established:--

| For a | | |Single |Double | Per |Letter.|Letter.| ounce. ------------------------------------------+-------+-------+------- | d. | d. | d. To Leghorn, Genoa, Florence, Lyons, | | | Marseilles, Aleppo, Constantinople | 12 | 24 | 45 To St. Malo, Morlaix, Nieuhaven | 6 | 12 | 18 To Bordeaux, Rochelle, Nantes, Bayonne, | | | Cadiz, Madrid | 9 | 18 | 24 To Hamburg, Frankfort, Cologne | 8 | 16 | 24 To Dantzic, Leipsic, L[:u]beck, Stockholm,| | | Copenhagen, Elsinore, K[:o]nigsberg | 12 | 24 | 48 ------------------------------------------+-------+-------+-------

No rates were fixed for letters passing outside Europe.

These rates were not substantially altered by the Act of 1660, although in some cases a variation according to the route followed was introduced. For example, a letter sent to the North of Italy via Lyons was charged 3d. more than a letter sent direct.

Under James II rates of postage (6d. a single letter, 1s. a double letter, and 2s. the ounce) were fixed for letters to and from Jamaica, although no service to and from the island was provided by the Crown.

In 1686 regular mail services were established under contract between Dover and Calais and between Dover and Ostend, and in 1687 a service between England and Holland. It is probable that packets were sailing between Dover and Calais before that time,[680] but in general the cross-Channel services had previously been conducted by boats hired casually for the conveyance of particular mails. For the Calais service a sum of [L]1,170 a year was paid, and for the Dutch service a sum of [L]900 a year.[681]

Letters from abroad brought by merchant ships (known as "ship letters") were by the Ordinance of 1657[682] and by the Act of 1660 made subject to postage on arrival in this country. Such letters were required to be given up to the postmaster at the port of arrival, who forwarded the letters to London, where they were charged with the proper amount of postage. No payment was made to the shipmaster in respect of letters handed over to the Post Office in this way, and no penalty was incurred if the letters were not so handed over. This part of the Act consequently remained a dead letter. The farmers of the Post Office saw, however, that it would be profitable to them to offer a small pecuniary inducement to the shipmasters, and accordingly offered to pay a penny for every letter brought by private ship and handed over by the shipmaster to the postmaster of the port of arrival.[683] As the farmers were able to charge the legal rate of inland postage on all such letters, there was a sufficient margin to leave a profit after payment of the penny. The regular ship letter fee, which was afterwards legalized, originated in this practice.

Most of the ship letters came to the port of London, and the establishment of the penny post in 1680 had a serious effect on the proceeds of the ship letter money. If the letters were for delivery in London, they could be dropped into the penny post for delivery at a penny each, whereas if handed in to the General Post Office as ship letters they would be charged at the appropriate foreign rates, according to their place of origin. Thus, letters from Marseilles for delivery in London would be charged 1s. each, although the service actually performed by the Post Office was no greater than that performed for a penny in the penny post. The foreign rates, as applied to ship letters, were therefore for the most part a simple tax, and the use of the penny post was greatly resorted to.[684] The Postmasters-General protested continually against this fraud on the revenue; and in 1696, in order to put a stop to it, two officers were appointed whose duty it was to receive letters and packets from all "masters of ships and vessels, mariners, and passengers as shall be by them hereafter brought in any ships or vessels into the Port of London."[685]

The payment of a penny a letter to the shipmasters was without legal sanction until the Act of 1711.[686] This Act revised the foreign rates, in general in an upward direction, the increase on the rates of 1660 varying from 1d. to 3d., and first established statutory rates for letters passing to or from the colonies. From London to or from the West Indies the rate was 18d. for a single letter, and to or from New York 12d. The rate to the West Indies was, in 1765, reduced to 1s. for a single letter, and this rate became in course of time the standard for all colonial letters.

In 1796, in addition to the ordinary shilling rate, letters from the colonies were subjected to a charge at the inland rate in respect of transmission within this country: e.g., a letter from America would be charged the shilling rate, and the inland rate from Falmouth to its destination. An addition of 4d. was also made to the rates on letters to or from places abroad, other than places in the colonies. In 1805 an additional penny was laid on letters between Great Britain and the American Colonies.

The Act of 1711 had made illegal the despatch by private ship of letters which could be sent by the regular packets; but for places to which no packet service existed, shipmasters were free to accept and carry letters, and to charge what fees they chose. So far as it directed that all letters for places abroad should be sent by packet where a packet service existed, the Act was ineffective. From the chief coffee-houses in the City of London it was customary to collect letters to be sent in this way by private ship where no packet service existed. This practice was extended to those places to which there was a packet service, and became generally recognized. Shipmasters usually charged a fee of 2d. per letter,[687] and the whole traffic was conducted independently of the Post Office.

No attempt was made to collect postage on letters conveyed by private ship, whether received or despatched by such ship, except in respect of transmission within the kingdom. The penny authorized by the Act of 1711 went to the master of the ship. About the year 1790 Frederick Bourne, a clerk in the foreign department of the Post Office, suggested a scheme which should bring all ship letters into the post and subject them to postage for foreign transmission. He proposed that inward ship letters should be charged a uniform rate of 4d., and outward letters should be charged half the packet rate; for those places to which there was no packet rate, the rate was to be based on what the packet rate might be presumed to be if a packet service existed. In view of the long period during which the provisions of the Act of Anne had not been enforced in this respect, Pitt was unwilling to attempt to suppress the illegal practice which had grown up. He considered that in respect of outward letters the service performed by the Post Office, which amounted to no more than sealing the bags and handing them to the shipmaster, was insufficient to justify compulsory payment of packet postage. The proposal was therefore adopted only as a permissive measure: merchants were given the option of handing their letters to the Post Office. The Act authorizing the change empowered the Post Office to despatch and receive letters by vessels other than the regular sailing packets. On letters despatched by private ship the Post Office was authorized to charge half the packet rates in the case of letters for places to which a packet service existed; in cases in which no rate of postage was established, the charge was to be half the rates then paid, as near as could be ascertained.[688] On letters brought in by such vessels, in addition to the inland postage, a charge of 4d. a single letter, and so in proportion, was authorized. A fee of 2d. was payable to the master of the ship in respect of every letter delivered to or received from him by the Post Office in proper course.