Sorting the UK post office network
The closure of any post office is a loss to the customers and community involved. But Postwatch, the watchdog for postal services, recognises that the current situation of increasing financial losses and fewer transactions cannot continue.
To let the current drip-drip of unplanned closures continue would be irresponsible and would undoubtedly lead to some areas losing access to post office services. The government’s consultation on future funding and structural arrangements for the post office network is the first step in putting in place a strategic plan.
For over a year, Postwatch has been urging the government to propose a sustainable way of meeting customers’ post office needs. In response to the consultation, Millie Banerjee, Chair of Postwatch, said: “Today’s announcement and consultation are the first steps in providing a clear view on how the post office network will look in the future. We have consistently urged the government to provide that clarity and are pleased we now at least have proposals to work on.
“This is not a simple numbers game of how many post office buildings are to close. The focus should be on ensuring customers have access to post office services. Solutions will vary from location to location. But, for example, if a number of expensive-to-run, seldom used post offices can be replaced with a cost-effective mobile service that meets communities’ needs – doesn’t that make sense?
“We will need time to study the proposals to consider how they will work in practice. We are pleased to see the government recognises the social and economic role of the post office network but are disappointed that there is no further information on how the social role will be taken into account when considering a post office’s future.
We are surprised that it appears that more urban closures, potentially including those in deprived wards, are being envisaged so soon after the Network Reinvention Programme has finished.
“The finally agreed principles must be robust and not open to perverse interpretation by Post Office Limited. Postwatch was heavily involved in the urban closure programme and learned many lessons. Too often during that programme Post Office Limited pushed forward plans against the sensible objections of customers, MPs, Postwatch and others.
Postwatch will campaign vigorously for the meaningful local consultation this issue needs and customers deserve.”
Notes to Editors
1. In March 2006 there were 14,376 post offices in the UK of which 6,522 were urban
and 7,854 rural. There were 1,125 post offices in areas classified as urban deprived.
2. These post offices made an operating loss in 2005/06 of £111 million. Losses for
2006/07 are expected to be over £200 million.
3. Over 1,500 rural post offices have fewer than 40 customer visits a week and 90
per cent fail to make a profit.
4. Since April 2000 despite it being government policy to avoid rural post office
closures over 1,000 have closed. All these closures were ‘unplanned’.
5. During the Network Reinvention Programme (April 2003 to March 2005) over 2400
urban post offices were closed.
6. Around 28 million customers make 44 million visits to post offices every week. 9
million of these visits are to rural post offices.
7. There are two direct references to Postwatch in the DTI’s consultation document
‘The Post Office Network’ which are:
“Area proposals will be developed within the framework of the relevant access
criteria and with the participation of subpostmasters and Postwatch.”
“The role of Postwatch at this stage will be to check that the right people are
consulted, their views properly gathered and subsequent decisions effectively
communicated.”
More Information: Visit http://www.postwatch.co.uk/custinfo/CustInfo.asp?id=18 for
relevant background briefing and statistics on the post office network’.
