'', 28 February 1863 A permanent line of narrow gauge was constructed between
Euston railway station and the North West District Post Office in Eversholt Street, a distance of approximately a third of a mile. The line was tested from 15 January 1863, and operation started on 20 February 1863. A capsule conveying up to 35 bags of mail could make the short journey between terminals in one minute. Thirteen journeys were operated each day, with a daily operating cost of £1 4s 5d (£ in ). The Post Office was charged a nominal fee for use of the service, presumably to encourage them to accept the technology. A journalist made a report on the first scheme at Euston: The company sought to develop further lines within London, and attempted to raise an additional £125,000 (£ in ), of capital. The prospectus proposed a network of lines between "points so important that it is unnecessary to dwell upon the magnitude of the traffic that must naturally arise between them". The first line was to have been a route linking the Camden Town and Euston (Square) stations of the London and North Western Railway. Work started on a
narrow gauge line from Euston to Holborn in September 1863. The tubes were constructed by the
Staveley Coal and Iron Company. The first 'trains' ran on 10 October 1865 after a demonstration in which the chairman,
Richard Temple-Grenville, 3rd Duke of Buckingham and Chandos, travelled from Holborn to Euston in one of the capsules. Another line from Holborn to Gresham Street via the
General Post Office on St Martin's le Grand was authorised by the '''''' and was under construction in 1865. By the time of the 1866 financial crisis caused by the
Overend, Gurney and Company collapse, a tube from Holborn to Hatton Garden had been constructed. Capsules from the General Post Office reached Newgate Street within 17 minutes, at speeds of up to 60 mph. The company obtained a further act of Parliament on 6 August 1872, the '''''', to extend the system. The Post Office made several trials of the system, but there were not substantial time savings to be made, and by 1874, the Post Office abandoned its use, and the company went into liquidation in 1875. The
Edinburgh Evening News reported in 1876 that the trucks containing the parcels continually stuck in the tunnels, and this was the reason for the failure of the company. In late 1921, an agreement was reached between the Pneumatic Despatch Company and the Postmaster General for the sale for £7,500 (£ in ) of the remaining infrastructure of "the tube" to the Postmaster General. The agreement recognised that "the Company has not for many years past worked the tube and the same is not now in working order" and that various persons had made unauthorised breaches in the tube as originally constructed. The agreement was confirmed by the '''''' which also repealed enactments from 1859, 1864 and 1872 authorising the company. ==Artefacts==