In ten years' time - by 1970 - I should think three quarters of all trunk telephone calls will be dialled Ernest Marples, Postmaster General

The General Post Office is to spend �35m modernising the phone system in an effort to popularise use of the telephone. At the moment there are on average less than two calls a day per telephone made in the UK - half the number of those made in the US.

All calls will be charged automatically according to both time of call and distance. Prices will start at 2d and a three-minute call will cost 2s 6d, a reduction from 3s 6d.

Londoners to wait two years

Callers in London will not benefit from the new system until 1961 because more complicated equipment will be needed in the larger cities.

"In ten years' time - by 1970 - I should think three quarters of all trunk telephone calls will be dialled," said Mr Marples.

New streamlined coin phone boxes will be installed in Bristol with slots for 3d, 6d and 1s pieces. Money cannot be put in until the call is answered.

Mr Marples demonstrated to reporters how the new automatic dial payphones will work.

A series of pips indicates when the time paid for is running out and the caller must insert more coins to carry on talking.

"And if you don't put it in in that time, you'll hear the 'number unobtainable' in which case as they say - rudely - you've had it!" he explained.

"We didn't want to be hard on the people in the kiosks for this reason - they may not have quite the right money available and [we wanted] to give them the chance to continue their conversation if they so wished. It's quite revolutionary and I think it will give them good value for money."

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