As secretary of the cross-party group of MPs particularly concerned about post offices, I called an emergency meeting yesterday to discuss this threat. We learned from the Federation of Sub-Postmasters that if the contract to run POCA is not awarded to Post Office Ltd, the impact on the remaining network of sub-post offices could lead to the loss of a further 3,000 post offices.
This would be even more severe than the round of 2,500 cuts which the post office network has just suffered.
It seems barely conceivable that at a time of such economic uncertainty the Government should be actively considering yet another self-inflicted blow to its own business and the thousands of self-employed small businesses which comprise the vast bulk of the 12,000 post offices remaining in the network.
The POCA after all is a cash payment card called by the Post Office name; used by post office customers in post offices but not elsewhere; by which 4 million card-holders pay bills and retrieve cash each week from post offices.
We believe the Post Office Ltd bid is economically competitive, offers the most secure cash handling, and the widest distribution and accessibility of outlets, particularly in rural areas where no other financial network compares.
Given the significance of the POCA it beggars belief that it could possibly be about to cease being operated by Post Office Ltd due to a decision of its own shareholder, the current Labour government.
I am joining MPs from all parties in writing to Ministers today to urge them to make the right decision not to put thousands more post offices at risk.
