Oral Answers to Questions

Ian C. Lucas Excerpts

Tuesday 20th November 2018 Commons Chamber

[James Frith (Bury North) (Lab)]

21. What discussions his Department has had with representatives of the Post Office on plans to close 74 Crown post offices. [R]

[Ian C. Lucas (Wrexham) (Lab)]

22. If he will make an assessment of the (a) adequacy of terms of the proposed sale of Crown post offices and (b) effect of that sale on sub-post offices.

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

While the Government set the strategic direction for the Post Office, they allow the company the commercial freedom to deliver this strategy as an independent business. The 74 Crown branches are being franchised to WHSmith, either on-site or through relocation to a WHSmith store. There will be no reduction in the number of branches from the franchising with WHSmith.

--- Later in debate ---

[Kelly Tolhurst]

Let me first highlight the fact that there are no Crown post offices in the hon. Gentleman’s constituency.

Franchising is one of the measures to support and maintain the long-term sustainability of our network of 11,500 post offices throughout the country. As I said, the network was reduced under the last Labour Government, but we are committed to the Post Office and to keeping those branches open.

[Ian C. Lucas]

Restrictive practices are preventing my constituent Mr Avi Bungar from providing various post office services because he runs a sub-post office. Why are the Government giving big business WHSmith a sweetheart deal and preferential Crown post office terms, and preventing sub-postmasters from having the same?

[Kelly Tolhurst]

I respect the fact that the hon. Gentleman has experienced issues in his constituency in relation to a particular post office, but to set a long-term sustainability programme for the Post Office against potential postmasters is quite frankly wrong. This is part of a sustainable programme that will enable us—this Government—to keep 11,500 post offices open, to increase, via the Post Office, the pay to which post office workers are entitled, and to give them longer hours and better locations.