Horizon Redress and Post Office Update

Debate between Tim Farron and Gareth Thomas

Tuesday 8th April 2025 Commons Chamber

[Gareth Thomas]

I know from the conversations I have had with my hon. Friend just how much she and her constituents value the post office in Cricklewood. As I have set out, our starting point is that a mains franchise offering the same services as currently enjoyed by the residents of Cricklewood will be provided. I hope her constituents will not see any significant disruption going forward, but I am very happy to have a conversation with her about that.

I have had many conversations since coming into this role with the leadership of the Communication Workers Union, who have been very direct in their views about directly managed branches. On the question of their having a view and a say in the future of the Post Office, as I have made clear we are determined to publish a Green Paper, which will allow all those who are interested, including the CWU, to give us their vision of the future of the Post Office and view about the various questions about its future.

[Tim Farron (Westmorland and Lonsdale) (LD)]

Does the Minister acknowledge that among the horrific impacts of the Horizon scandal is the massive brand damage to Post Office Ltd and its management among not only the sub-postmasters who are currently employed, but the potential workforce of the future?

Our communities in the lakes in Hawkshead, Staveley and Grasmere are currently without an operating post office and have lost those services. Will the Minister give attention to and push Post Office Ltd to provide a package that not just encourages people to remain within the Post Office, but attracts new people, acknowledging that it will take more effort than normal to attract people into the sector? On the issue of franchise services, our post office in Kendal shares space with the Royal Mail, and any change of site for our post office could threaten both. Is he cognisant of that, and will he do something about it?

[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.

Future of the Post Office

Debate between Tim Farron and Gareth Thomas

Wednesday 13th November 2024 Commons Chamber

[Gareth Thomas]

My hon. Friend makes a crucial point about the future of the Post Office—we must get right the technology that sub-postmasters are expected to use. There were serious problems and delays in the previous Government’s efforts to find a replacement for Horizon. We have had to bring in additional consultants to work with the Post Office to bring forward a proper replacement. More generally, on Fujitsu, we expect the Horizon inquiry to bring forward a view about the accountability of particular organisations and particular individuals. We will look at what Sir Wyn’s inquiry recommends and then make appropriate decisions on those issues.

[Tim Farron (Westmorland and Lonsdale) (LD)]

We are deeply alarmed that Kendal Crown post office appears on this list. Three years ago, the previous Government and the previous administration of Post Office Ltd also threatened Kendal Crown post office with closure. We won our campaign to save it, in part because Post Office Ltd conceded that there was not enough space in WH Smith in Kendal to accommodate the post office. That has not changed. Royal Mail may also lose its Kendal sorting office as a consequence of the closure. That has not changed either. What has changed is that two more high street banks—Halifax and Lloyds—have deserted Kendal town centre on the basis, they claim, that the post office down the road will be able to take up the slack. Is this not the time to give guarantees to post offices such as the one in Kendal that they will remain a Crown office for the foreseeable future to support our town and our economy?

[Gareth Thomas]

I say gently to the hon. Member that I absolutely recognise his point about the role that bank branches play in communities such as Kendal and about their retreat from our high streets. The banks have a responsibility to work with the Post Office to make sure that communities can have access to the banking services that they need, particularly those offered through the post office. That is one reason why we want to significantly expand the number of banking hubs. On the hon. Member’s point about the post office in Kendal, I simply underline the fact that no decisions have been made about Kendal or any other individual directly managed branch. We expect the Post Office to talk to sub-postmasters, trade unions and other stakeholders about this process, but genuinely I say to him that there are significant additional costs associated with the directly managed branches and it is right that the Post Office looks at that as well.