Sentinel leader: Post offices can flourish

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Friday, November 14, 2008
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This is Staffordshire

C USTOMERS of popular but recently-closed post offices will be entitled to mutter rude words at the hypocrisy of Work and Pensions Secretary James Purnell when he tells the House of Commons that the Government will do nothing to put the network at risk. Too many post offices are gone because the present Government removed business and subsidies, despite their unique role in the community. Nonetheless, yesterday's decision not to award the Post Office Card Account, which handles pension and benefit payments for four million people, to a private sector bidder is good news.

I t had been estimated that as many as 3,000 more post offices might close if the account was transferred. Continuation of this contract to at least 2015 gives post offices some respite and potentially offers a stable platform for more services to be added to their portfolio. Rather than central government presiding over post offices' decline, there's no reason why a more dynamic, entrepreneurial spirit should not be allowed to flourish. The point has already been made that in these troubled times, the Post Office's financial services have more stability and a better reputation than many of the discredited big names. At a time when image counts for a great deal, it is one obvious area that could be exploited and expanded with clever marketing. It's refreshing to read, albeit in a (probably deliberately) leaked letter that the Government will now explore ways of diverting business to the network. It would appear to be a reversal, for the time being at least, of a Government willingness to let the service become a shadow of what it was. We must wait to see if the words are matched by action.

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