Horizon Redress and Post Office Update

Luke Akehurst Excerpts

Tuesday 8th April 2025 Commons Chamber

[Gareth Thomas]

The hon. Gentleman rightly underlines the significance of the Post Office, in particular in rural communities, and the challenge on occasion of finding sub-postmasters to run franchise post offices in those areas. I hope the uplift in postmaster remuneration that came just before Christmas will help to address that particular challenge.

We have made clear to the Post Office leadership that a fundamental change in its culture is needed to place sub-postmasters at the heart of the operation going forward, which they accept. They have therefore set up a consultative council to ensure that sub-postmasters have direct input into the future direction of the Post Office. They are also doing more, through a postmaster panel, to bring in postmasters to understand the different processes used and to rebuild confidence in how Post Office management handles some of the bigger challenges that the company faces.

I will happily consider any request or point of concern that the hon. Gentleman raises about Kendal. If he is not satisfied with progress in addressing those points, he is very welcome to get in contact with me further down the line.

[Luke Akehurst (North Durham) (Lab)]

I am very proud of the local campaign I have been involved in alongside councillors and residents to save Chester-le-Street post office. Although it is disappointing that we are losing the post office in its current form, I am relieved that the services have been saved. I recognise that the market for traditional post office services has been in decline for some years. Does the Minister share my disappointment that Post Office management did not have the commercial imagination to find new business streams utilising their brand and network of prominent high street locations?

[Gareth Thomas]

I commend my hon. Friend for his campaign. I recognise just how much the Chester-le-Street post office is valued by his constituents, as he has made clear to me a number of times in his representations.

On the commercial future of the Post Office, it is absolutely true that postal services in this country—as indeed in a number of other countries—are facing significant pressures, and it is therefore imperative that Post Office management here in the UK look at what they can do to capitalise on new opportunities, particularly in terms of banking. The Post Office chairman and chief executive, Nigel Railton and Neil Brocklehurst, completely get this point, and we are actively talking to them about what more we can do. I very much hope we will hear positive news on banking framework 4, which I hope will be a significant step forward in this regard. However, there is more that can be done in this space.