Post Office Network Debate

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Simon Danczuk

Main Page: Simon Danczuk (Independent - Rochdale)
Tuesday 2nd November 2010

(13 years, 6 months ago)

Westminster Hall
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Jason McCartney Portrait Jason McCartney (Colne Valley) (Con)
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I congratulate my hon. Friend the Member for The Cotswolds (Geoffrey Clifton-Brown) on securing this Westminster Hall debate. I thank the Minister for being here and for producing various briefings on the Postal Services Bill for my colleagues. The future of the post office network is close to my heart, not only because I am one of the vice-chairs of the all-party group on post offices, but because my rural constituents of Colne Valley, west Yorkshire, have suffered many post office closures in recent years. In fact, my parents lost their local branch in Holmbridge in the past couple of years.

We all know the crucial role post offices play in our local communities. It is sometimes only when they have gone that we really appreciate what they offered our communities. The role of the Meltham post office in my patch has become all the more important because the last bank branch has closed there this month, with Lloyds TSB pulling out. That leaves the post office branch with the only town centre cash machine, which is crucial.

I am very lucky because I live just a couple of hundred yards from a fabulous community post office in my village of Honley. I can tax my car there, get foreign currency, get my dry cleaning done, and I can even get tasty fresh olive bread—yes, even in west Yorkshire we get such lovely goodies. However, as we heard earlier, we cannot get everything done there. I cannot renew my TV licence and, although I can pay my Yorkshire Water bill, I would be penalised £2.50 for the transaction. The branch is also doing Santander bank work. It is handling bags full of coins and change from businesses and charities, which is a good service. However, for an hour’s coin handling, the sub-postmaster tells me that they receive only about £1. That is hardly the basis for a stable business, so all is not well.

What can be done? The National Federation of SubPostmasters has identified several measures that could enhance the network. We heard about many such measures during the debate, and we will hear some more in the next 40 minutes. However, I will end my contribution with the thoughts of my local sub-postmaster, Brenda, who has been running the Honley branch for four and a half years. I called her last night while jotting down some notes. Please remember that it is her business and her family’s livelihood.

She made three points. First, Government Departments, central and local, and including the Department for Work and Pensions, must make the Post Office their No. 1 facilitator of services—a point we heard earlier—and prioritise it ahead of telephone and online provision. Secondly, we must understand that post offices need to deliver more work to flourish. They are ideally placed to be the focal point of the big society. Thirdly, we must speculate to accumulate; we have already heard about the £1.3 billion of investment, which Brenda welcomes, but we need to invest now if we are to have a network for decades to come. Money from Royal Mail needs to be invested to bring the branches into the 21st century. Brenda highlighted the fact that that means basic equipment, such as proper scales, which they struggle without. We need to invest in that if we are to have an accessible network that makes sub-postmasters proud, so that in 10 years’ time we will not need to put in the rural subsidy.

Simon Danczuk Portrait Simon Danczuk (Rochdale) (Lab)
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Will the hon. Gentleman give way?

Jason McCartney Portrait Jason McCartney
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I am afraid that I have almost finished. In summary, the Postal Services Bill signals a crossroads for the post office network. It is a great opportunity, and I hope that my colleagues in all parts of the Chamber will join me in fighting for a sustainable, long-term future for our post office network.

--- Later in debate ---
Baroness Burt of Solihull Portrait Lorely Burt (Solihull) (LD)
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For the past 10 years, we watched the near desecration of the post office network under the Labour Government, who presided over a subsidised decline of the post office. Well, things will change radically. I very much look forward to the statement that I believe is coming tomorrow. There will be no closure programme under this Government.

Simon Danczuk Portrait Simon Danczuk
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Will the hon. Lady give way?

Baroness Burt of Solihull Portrait Lorely Burt
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No, I am sorry, but I have only two minutes.

There will be more services and more potential. I greatly welcome separation from the Royal Mail. It will give the Post Office much more say in its own affairs; it will no longer be a junior partner. Can we build into the Postal Services Bill provision for the Secretary of State to seek a review of the access criteria, subject to parliamentary approval? There is concern about that.

I would like to know a little more about what conditions need to be in place before mutualisation can happen.

Simon Danczuk Portrait Simon Danczuk
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Will the hon. Lady give way?

Baroness Burt of Solihull Portrait Lorely Burt
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No, I am sorry, but I have no time.

On funding, it is absolutely brilliant that we will have the £1.3 billion which, at last, will give the Post Office the boost that it needs. The most important thing is that it will enable the Post Office to move into the 21st century. We have already been told a little about essentials, and we are really looking forward to bringing down the barriers that have been created by previous Governments, so that we can open up the Post Office to the sort of thing that it is very capable of doing. Government work, new mail services—including local collection and drop-off—the Post Office bank, which was mentioned by Members earlier, access to all the major high street banks and benefit changes are all things that the Post Office is well equipped to do, and I look forward to my hon. Friend the Minister outlining in the statement tomorrow exactly what can be done.