Contact:                    Peter Black on 07774 256123 or 029 20 898744

Release Date:          6 February 2002

 

Assembly Government initiative to  save Post Offices praised

An initiative by the Welsh Assembly Government to seek to save Welsh Post Offices under threat from privatisation and Consignia cuts has been praised by a Welsh Liberal Democrat AM.

 

The initiative was announced by the First Minister in response to a question by South Wales West AM, Peter Black.  Referring to the dependence of Post Offices on benefit payments and the potential loss of business caused by the payment of these by automated credit transfer, the First Minister said that the Welsh Assembly Government are considering an urban deprived fund to promote Post Offices as a universal bank, making them the point of entry for a number of Government services.  He also said that Assembly Officials would meet Consignia, the National Federation of Sub-Post Masters and the Welsh Local Government Association with a view to developing proposals to support the retention of Post Offices in deprived urban areas.

 

Mr. Black welcomed these initiatives as an appropriate response to the threats posed to Urban Post Offices. “Rural Post Offices have long been recognised as being in danger from changes to the way that benefits are paid”, he said. “However many urban Post Offices are also at risk.  In addition the announcement of a £100m half-year loss by Consignia in November of last year together with the fact that Consignia is committed to cutting 15% from its costs by April 2003 places many important services in jeopardy.”

 

“Post Offices are vital services in urban communities and the closure of one in a City or Town community can leave many pensioners in particular stranded. The emphasis on out-of-town shopping centres and the concentration of key services in town centres means that often only car owners can benefit from them. Public transport in urban areas can be notoriously expensive and unreliable. As a result those living in deprived communities where incomes and car ownership is low, there is an aging and infirm population and a high number of people on disability benefit, will find life without their local Post Office well-nigh impossible.  The measures announced by the First Minister are therefore very much needed as they provide a purpose and a potential income stream to keep urban Post Offices open.”

 

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