(8)
Page 10 There are advantages about making a concession
this summer rather than deferring
it. A concession in the autumn would to the many motorists who lay up their cars for the winter.
Not appeal
In many other O.E.E.C. countries which we have to supply with petrol there is no rationing at all or, where there is, the allowances are bigger than ours. In comparison, our austere standards here are increasingly difficult to defend.
Against the proposal for an increase must be, however, placed two important considerations:-
6.
(a)
(b)
While our balance of payments is much healthier than was expected, we still face a most difficult dollar problem and, for the present, we cannot increase petrol consumption without spending more dollars.
Although civilian stocks of motor spirit are higher,
Service stocks are far below (about 800,000 tons) the level considered to be desirable by the Chiefs of Staff and we may be approaching the United States Government for assistance in this very shortly.
In all the circumstances, much as I should like to do so, I do not feel able to recommend a permanent increase in the standard ration.
7.
I propose instead that we should give a "holiday bonus" this year by doubling the value of the standard rate in
coupons. The coupons for these three months would then be worth 180 instead of 90 miles a month; and the total value of the standard ration book for the six months June - November would be increased from 540 miles to 810 miles. At this figure it would still be only half the value of the basic ration for six months in 1947. The coupons. will, of course, be valid for five months after the months for which they are issued; in addition I am arranging for the standard ration books to be available as early as possible in May and I propose to make the coupons valid from the date of issue, so that those who wish to use their ration for an early holiday may do so.
the case of the June, July and August
8.
The cost of this bonus would be 90,000 tons (compared with a total annual petrol consumption of 4 million tons) and about £900,000 in dollars.
9.
I recommend that the proposal set out in paragraph 7 be adopted, as giving considerable advantages for a very small cost.
H.G.
Ministry of Fuel and Power, S.W.1.
25th Pegel0qf 4889.
of
Dav
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