Local Post Offices

Mark Sewards Excerpts

Thursday 30th January 2025 Commons Chamber

[Mark Sewards (Leeds South West and Morley) (Lab)]

I am grateful to the hon. Member for Taunton and Wellington (Gideon Amos) for securing this debate. I think my hon. Friend the Member for Bournemouth West (Jessica Toale) has already summarised a lot of the excellent contributions from the Government side.

It is clear from today’s debate that we all know that post office branches are essential to our local communities and the local economy. It saddens me that this Government inherited a Post Office in such a precarious position. Having discussed the matter with senior Post Office staff and the Minister, I know that the organisation is facing serious financial challenges, and I am grateful for the engagement of the Government and the Minister on the issue. That forms the backdrop to the announcement that the Post Office is considering the future of the remaining 115 directly managed branches, which has been referenced countless times today, with a franchising model being considered for them.

I remain especially concerned about the future of the Morley post office on Queen Street. Morley sits in the heart of my constituency. It is a town of around 50,000 people and one of the key locations that people come to for financial services and shops. The directly managed branch is vital for my constituents and for those who rely on the services that it provides, and I have been looking for certainty that it will remain on the high street where it belongs. I know the strength of feeling from my constituents, as more than 2,500 people have signed my petition to keep the branch open. It is clear that after the closure of many bank branches across Morley, the post office is a lifeline for those who need it. The numbers back that up—it is not just my testimony. While other directly managed branches have seen a 34% drop in footfall since 2019 because of the pandemic, the Morley post office is only 3% down. We use our post office.

A word on bank branches and banking hubs: I have been actively pursuing a banking hub for Morley town centre, especially with the recent news that NatWest is due to pull out of the town this year. NatWest even pointed to the post office on its way out and said, “Don’t worry—you have that service there,” despite the threat of closure. I have been in touch with Link, one of the organisations that determines which areas gets banking hubs, and it tells me that Morley does not yet meet the criteria for a banking hub because we still have one branch left. While I have many questions about the criteria, we will have to save them for another debate and another time.

While Morley does not meet Link’s criteria, and while I continue to have those discussions with Link, we cannot have a situation where my post office closes. Thankfully, the continued operation of Morley’s post office will not prevent us from securing a banking hub in future, so there is no reason why we should not do everything in our power to keep the post office open, and that is exactly what I am doing. As I stated, the branch is very much in demand. It is used by local businesses that trade on our high street. Business owners such as Castlepoint, which owns and operates Morley market, have contacted me directly about their concerns about the branch closing.

Post Office research shows that three in 10 SMEs use a post office once a week, whether to post parcels to customers or deposit their cash takings. Losing this branch, which is surrounded by so many businesses in Morley, would make us all worse off. I know that the direction of travel for the Post Office is to move towards the franchising model that we have heard so much about today, and I remain hopeful that a suitable postmaster will be found to take over the branch, but I am also clear that the branch should remain on the high street. Having it in an accessible place in Morley town centre is very important for both residents and businesses, and I will continue to make that case as strongly as I can. It is why I have requested that those interested in taking over the franchise in Morley contact me. I am keen to support their bids, assuming that they are in the best interests of Morley and the town centre.

Finally, I ask the Minister whether there is any threat to the number of services that a directly managed branch can offer if it transitions to a franchised branch. I reassure all my communities in Leeds South West and Morley that I will work tirelessly to ensure that this branch remains open. It is crucial that the services that the post office provides in Morley town centre remain there for many years to come.

[Madam Deputy Speaker (Caroline Nokes)]

I call the Liberal Democrat spokesperson.