Brunel was great, but if you look at the financial history of the Great Western Railway (GWR) in the 1800s you can see that even back then, mega-projects that everyone admired didnt guarantee you a fortune in profits. It cost twice as much to build as originally estimated and while GWR made a profit, it was not a huge one.
As with all great civil engineering projects, the assessment of the cost was over-optimistic. The Act authorising the construction, passed in 1835, allowed for pounds 3.3m. The total cost when it opened in June 1841 turned out to be pounds 6.15m.
Despite cost runovers, healthy dividends were paid in these early days. Before the depression of the late 1840s, the company was paying 8 per cent per annum which, at a time of no inflation and low interest rates, was very satisfactory. Even after the economy recovered, according to E T MacDermot, author of the History of the Great Western Railway, 'three-quarters of a century were destined to pass before the Company again paid 8 per cent'. The deterioration of the economy led to a cut in dividends to 7 per cent per annum, then to 6 per cent. By August 1849, dividends were down to 4 per cent, where they remained until they fell to 3 per cent in the mid-1850s.
Brunel himself made some money but quite a modest amount compared to what you might expect given his fame.
At the time of his death in 1859, Brunel is estimated to have been worth about £8 million in today’s money. It’s not a bad sum but for a someone of his profile, £8 million is a very modest amount.
Not that I think engineers should strive to make a lot of money. But its interesting to know that one of the most famous engineers in history didn't generate a lot of cash.
As with all great civil engineering projects, the assessment of the cost was over-optimistic. The Act authorising the construction, passed in 1835, allowed for pounds 3.3m. The total cost when it opened in June 1841 turned out to be pounds 6.15m.
Despite cost runovers, healthy dividends were paid in these early days. Before the depression of the late 1840s, the company was paying 8 per cent per annum which, at a time of no inflation and low interest rates, was very satisfactory. Even after the economy recovered, according to E T MacDermot, author of the History of the Great Western Railway, 'three-quarters of a century were destined to pass before the Company again paid 8 per cent'. The deterioration of the economy led to a cut in dividends to 7 per cent per annum, then to 6 per cent. By August 1849, dividends were down to 4 per cent, where they remained until they fell to 3 per cent in the mid-1850s.
https://www.independent.co.uk/news/uk/lessons-of-history-an-...
Brunel himself made some money but quite a modest amount compared to what you might expect given his fame.
At the time of his death in 1859, Brunel is estimated to have been worth about £8 million in today’s money. It’s not a bad sum but for a someone of his profile, £8 million is a very modest amount.
https://historylists.org/people/list-of-10-famous-britons-an...
Not that I think engineers should strive to make a lot of money. But its interesting to know that one of the most famous engineers in history didn't generate a lot of cash.