Post Office Closures

Debate between Andy Slaughter and Margot James

Tuesday 25th April 2017 Westminster Hall

[Andy Slaughter]

rose—

[Margot James]

I will give way once—I only have 10 minutes.

[Margot James]

I agree that we need to invest in the postal service, and we are doing that. I hope that we shall continue to do so. However, I am afraid that one aspect of investment is making the existing structure of Crown post offices more efficient and affordable. Through the process of modernisation and franchising of Crown post offices, we have been able to reduce losses. That is a way for us to uphold our promise to keep post offices open in poorer and more rural areas that are not economically sustainable. I hope that the hon. Gentleman will at least understand that we are not just closing branches; we are franchising them and making them more efficient. We are then able to fulfil our promise to areas that need a postal service but would not have one if we continued to invest in loss-making Crown post offices.

[Andy Slaughter]

Will the Minister give way?

[Margot James]

I will not give way. I accept that not all Crown post offices lose money; but the majority of those that have been franchised did.

My hon. Friend the Member for Bexhill and Battle (Huw Merriman) put the case very well for the investment made by taxpayers and the Post Office in the service in his constituency; I join him in congratulating Mr Sanjiv Patel on taking the risk, as many others around the country have done. They have then found that it was good not only for their business but for the consumer. The Post Office is doing more for customers and doing it more efficiently for the taxpayer, and it is ensuring that post office services remain on our high streets throughout the country.

Franchising or hosting some Crown branches is part of the Post Office’s long-term plan to ensure that the network is sustainable. It is not about closing services; it is about moving a branch to a lower-cost model, often in a better location for customers, and securing and improving delivery of services. The change from a Crown to a franchise or host branch has been undertaken previously in many locations and is a proven success in terms of sustaining services, as post offices share staff and property costs with a successful retailer. We have heard examples of that this morning. As I was saying, Crown branches have moved from a £46 million annual loss in 2012 to a break-even position today. That is no mean feat. There are still loss-making Crown branches, which is why I do not think we can stand in the way of the Post Office as it makes its service more efficient and sustainable and more accessible to a wider number of people.

--- Later in debate ---

[Margot James]

I will not give way; I have no time left, really.

I agree with the hon. Member for Washington and Sunderland West (Mrs Hodgson) that poorer urban areas also have a great problem with access to local services—it is not just rural areas. I am pleased to tell her that the Post Office is now focusing on that issue. The Post Office is revisiting some poorer urban areas where it closed branches 10 years ago, to talk to retailers about setting up a local post office counter. I hope that that will succeed in the hon. Lady’s area.

[Andy Slaughter]

Will the Minister give way on that point?

[Margot James]

No; I have very little time.

I want to reassure the hon. Member for Motherwell and Wishaw (Marion Fellows); I listened to her heartfelt concerns about an accessible post office in the town centre in Motherwell, and I will ask the Post Office to meet her again to discuss the most sustainable option for a service there.

Many hon. Members talked about banking, and I agree that that is an opportunity for the Post Office. However, the Post Office bank idea was looked at closely in 2010-11, and it was decided at that time that the money that the Government had would be better invested in the transformation of networks to secure sustainable access to services.

Oral Answers to Questions

Debate between Andy Slaughter and Margot James

Tuesday 13th September 2016 Commons Chamber

[Andy Slaughter (Hammersmith) (Lab)]

8. If he will take steps to support the London fire brigade's Total Recalls campaign on the implementation of changes to the product recall system by manufacturers of white goods.

[The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Margot James)]

Consumer product safety is a Government priority. We have an effective system of product recall and have established a steering group to consider the recommendations in Lynn Faulds Wood’s 2016 product recall review. We will engage with the London fire brigade on its campaign as part of our regular dialogue with them.

[Andy Slaughter]

The Minister will be aware of the major fire in a Shepherd’s Bush tower block last month that was caused by one of an estimated 5 million defective Whirlpool tumble dryers. The tenant was in the same room as the dryer but could do nothing to stop the fire destroying her home and damaging 25 others. Does the Minister agree that Whirlpool’s advice that such dryers can continue to be used if not unattended is irresponsible and dangerous? Will she get it changed?

[Margot James]

I was shocked to hear about the serious fire in the hon. Gentleman’s constituency and understand his concerns about the safety of tumble dryers. However, the advice provided by Whirlpool is based on a full risk assessment of the product that has been agreed with Peterborough City Council trading standards, which is the lead enforcement authority for Whirlpool. Trading standards will continue to monitor the situation and has powers to order further action if appropriate.

Faulty Tumble Dryers (Fire Risk)

Debate between Andy Slaughter and Margot James

Tuesday 13th September 2016 Commons Chamber

[Margot James]

I have been in contact with trading standards, and to date I have been satisfied with its approach. The advice and guidance through the process of modification that Whirlpool is implementing whereby one has to attend the tumble dryer while it is carrying out its operation is certainly inconvenient—I would be the first to admit that. If one has dual meters so that machines can be put on overnight, that does not help with energy conservation. However, I am not yet persuaded that the product is necessarily unsafe, because the very few fires overall in terms of the 5 million machines that have been sold have mostly been contained within the machine. On being present, bearing in mind what trading standards believes to be a very low risk, I think that the advice is reasonable given that a total product recall is unlikely to get back more than one in four machines.

[Andy Slaughter]

rose—

[Margot James]

As it is the hon. Gentleman’s debate, I will give way one last time.

[Andy Slaughter]

I am grateful to the Minister for giving way, but she has not dealt with the point that I emphasised in my speech. In the Shepherd’s Bush case, which nobody says was anything other than one of the most serious fires, the machine was observed. I think she will be aware that in Australia, where the machines have exactly the same fault, the advice is that customers should cease using the product immediately. The solution to one in four being recalled is to improve the registration system, and the solution to knowing what is in Whirlpool’s mind is for it to publish its risk assessment. Those are the questions that need to be answered.