Community and Sub-Post Offices

Stephen Gethins Excerpts

Wednesday 27th March 2019 Commons Chamber

[Gavin Newlands]

I agree with the hon. Gentleman. I will go into detail on some of that. After the shenanigans of the last hour, I feel that his intervening in the Adjournment debate has restored balance to the force.

The post office is a community institution in Scotland, and, as we have heard, the rest of the UK. Over the years, famous firms like Woolies, BHS and Blockbuster, in addition to countless small family retailers in our towns and villages, have closed their doors for good, but the post office continues to be a fixture of our local communities.

Under successive Governments, we have faced decades of aggressive privatisation of nationalised industries that many, particularly in older generations, felt immense pride in contributing to. The Post Office looks very different today from 25, 50, or even 100 years ago, yet it requires still further modernisation. However, to paraphrase a former Tory Prime Minister, it remains one of the only pieces of family silver that has not been flogged for a fraction of its market value for the sake of ideological privatisation. Even as its partner, the Royal Mail, has been privatised—cheaply, I might add—Post Office Ltd remains in public hands.

Post office closures disproportionately affect Scotland, with 40 occurring from 2011 until March last year, compared with England’s 297. Per head of population, those closures are happening at a rate that is one third faster in Scotland than south of the border. Add to that mix Scotland’s geography and size—including 94 inhabited islands—compared with England, and it becomes clear that the continuing viability of the post office is of extreme importance to Scotland, particularly in the light of the number of bank branches being slashed.

[Stephen Gethins (North East Fife) (SNP)]

Will my hon. Friend give way?

[Gavin Newlands]

My hon. Friend had not indicated his desire to intervene, but I will give way if he is brief.

[Stephen Gethins]

I congratulate my hon. Friend on securing this debate, as his commitment to local businesses in his area is very strong. Bank closures have had such an impact on small towns in rural areas like my own. Will he ask the Minister about the charges, given that post offices are increasingly taking the burden of those bank closures in rural areas?

[Gavin Newlands]

Absolutely. I will go into more detail on that subject in my speech and I will press the Minister on the issue.

The important role that the post office plays in our lives is felt more sharply in small towns and rural communities, which are disproportionately dependent on designated community post offices and sub-postmasters. In this debate, I will emphasise the challenges that the latter face due to unfair deals with big banks for providing basic banking services. Despite the growth of online and phone banking, there is still—and, for the foreseeable future, will remain—an undeniable need for easily accessible face-to-face banking, which is of particular importance to the elderly and those with additional support needs. As banks flee the high street, post offices are fulfilling this vital role.