Post Office Card Account

Jim Shannon Excerpts

Tuesday 16th December 2014 Commons Chamber

[Steve Webb]

Yes, I can confirm that. There is a system called simple payment for some of the most vulnerable people, who used to have giros, but for those with Post Office card accounts we will continue the facility of a second card for a family member or a carer.

[Jim Shannon (Strangford) (DUP)]

Last week, the hon. Member for Bristol North West (Charlotte Leslie) had an Adjournment debate in the Chamber on a LINK project to try to put ATMs in locations, such as villages, where there are not any ATMs already. For that reason, I very much welcome the Government’s announcement, which is really good news. Will the Minister confirm what the changes are in using the new system at post offices, and will the Government work alongside the LINK project to reduce or nullify charges for usage of the Post Office card account?

[Steve Webb]

As the hon. Gentleman knows, it is clearly already possible to access cash from a Post Office card account through the network of Post Office cash machines fee-free. As the number of Post Office card accounts drifts down and working-age people move to transactional banking accounts, one danger was that cash machines in rural and deprived urban areas would become unviable and be withdrawn from the network. One of the things we have specifically done through the new contract is to ask the Post Office—this is ensured as a term in the contract—to retain cash machines in rural and deprived urban areas.