204
4.
of reducing the normal rate in one of its agencies in a foreign country; and I am to say that, if Mr. Secretary Chamberlain can persuade the Lords Commissioners of the Treasury to waive the principle referred to in the case of the Chinese Agencies, the Postmaster General, feeling that the matter is one of more immediate concern to the Colonial Government than to the Imperial Post Office, will offer no objection to a general rate of 4 cents. At the same time I am to point out that, inasmuch as reciprocity is another established principle of the Penny Postage scheme, there would be a reduction in postage collections on letters from the United Kingdom to China corresponding to the reduction in the reverse direction, which might possibly be regarded by the Treasury as by no means a negligible sum. It is estimated to amount to about £1200 in the first year.
In these circumstances the Postmaster General can certainly see no grounds for recommending to the Treasury Governor Blake's suggestion (paragraph 5) that some grant should be made from Imperial Post Office funds to meet the loss