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Mulholland hails £1.34bn Post Office investment programme

March 12, 2012 12:53 PM

Greg Mulholland MPMember of Parliament for Leeds North West, Greg Mulholland, has welcomed the announcement of the largest investment and network support programme in the history of the Post Office. Subject to EU State Aid clearance, the £1.34bn programme will see the conversion of approximately 6,000 Post Offices- over half of the network- into new, more modern branches over next three years, recognising the major social value that Post Offices provide to communities.

Greg, a well-known advocate of small businesses and community hubs, has long campaigned for post offices, and fought Labour's post office closure programme which led to closures in Otley, Far Headingley, Yeadon and West Park.

The investment programme is designed to make the Post Office network more self-sufficient and, over time, less dependent on direct subsidy. All changes will be made in conjunction with existing sub-postmasters through an agreed communication and consultation process, and customers will benefit from a better retail experience including extended opening hours. If the branch relocates to a new location, an agreed local public consultation exercise will ensure that customers and external stakeholders are aware and have the opportunity to comment on proposals for individual branches.

The investment is part of the Government's efforts to guard against future programmes of branch closures. The improvements to the network will mean that 99% of the UK population will remain within three miles of their nearest Post Office outlet, while in deprived urban areas, 99% will be within one mile, and even in rural areas, 95% will remain within three miles.

Greg commented:

"Post Offices are essential community resources, helping people perform the most basic but important tasks in life, as well as connecting all part of the nation. It is fantastic that their importance is being taken so seriously, with the scale of the investment now announced proving the Government's commitment to local communities.

"This programme will renew the network, guarantee employment and secure access to postal services for all people across the country- it is brilliant that 99% of people will be within three miles of their nearest Post Office.

"As someone who has campaigned hard for local postal services, and indeed all such community hubs, I look forward to the improvements in service that are on their way!"

Paula Vennells, Chief Executive Officer, Post Office Ltd, said:

"This is a once-in-a-generation opportunity for the Post Office - a chance to revitalise the network and allow it to meet the needs of twenty-first century customers and communities. This major investment will help Post Office Ltd address changing customer needs by revitalising the network, with extended opening hours and a better experience for our customers."

Postal Affairs Minister Norman Lamb MP, said:

"Post Offices are at the heart of many of our communities, providing much needed services. This Government has made a commitment that there will be no closure programme and invested £1.34 billion to secure the long term future of the Post Office.

"However, change is needed to secure the long term future of post offices; the pilots are showing the new 'locals' and 'mains' models are popular with consumers and sub-postmasters. So I am pleased that Post Office Ltd are putting in place another 6,000 of these post offices over the next three years. The new models will make the network more financially viable and give customers what they want when they want it."

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