York Post Office fears to be debated at Full Council

1.00.00pm GMT Wed 29th Nov 2006

Madeleine Kirk proposed a motion to City of York Council about the threat of local Post Office Closures

Cllrs Madeleine Kirk and Richard Moore have put forward a motion on the future of York's Post Offices, to be debated at the next meeting of Full Council.

They are worried that more Post Offices could close in the future, as a vital post office subsidy will end in 2008 and the government plans to scrap the Post Office Card Account, forcing pensions and benefits to be paid into bank accounts instead.

It is estimated that over 10,000 people in the City of York Council area use Post Office Card Accounts, and they could be forced to make long journeys to city centre banks if these accounts are withdrawn by the government.

281 post offices have closed in the Yorkshire and Humberside region in the last five years. Recent closures in the City of York area include Rufforth, Nether Poppleton, Elvington, Eastholme Drive, Holgate, Gale Lane, Boroughbridge Road, Fishergate, Clarence Street, Bishopthorpe Road and Albemarle Road.

Cllr Madeleine Kirk (Lib Dem Councillor for Strensall ward) said "Residents across York are very worried that without real support for Post Offices, they could lose a valuable local service. If the government withdraws the Post Office Card Account, many branches will face even greater threat of closure as they will have another way of making income taken from them. It would also be really difficult for elderly or disabled people to have to travel to a city centre bank instead of being able to access their pensions and benefits at a local post office."

Cllr Richard Moore (Lib Dem Councillor for Skelton, Rawcliffe and Clifton Without ward) said "Once Post Offices close, they are very hard to reopen. It has been an uphill battle to persuade Post Office Ltd to even consider reopening Eastholme Drive Post Office following its closure in June 2005 despite the fact that many residents say they would like to use it. I am very worried about the Post Office network as a whole if the government removes the Rural Post Office subsidy and scraps the Card Account.

"It feels as though the government just don't understand how much local people value having a local Post Office."

ENDS

The full text of the motion submitted for debate reads:

Council notes:

That over the last two decades, post offices have been closing at a rate of over 300 per year;

That 283 post offices have closed in Yorkshire & Humberside since 2001. Recent Post Offices closures in the City of York area include Rufforth, Nether Poppleton, Elvington, Eastholme Drive, Holgate, Gale Lane, Boroughbridge Road, Fishergate, Clarence Street, Bishopthorpe Road and Albemarle Road;

That following the completion of the Urban Renewal Scheme, there is no longer a commitment to prevent avoidable closures of post offices in urban deprived areas where there is no alternative within half a mile;

That Postcomm's 2005 Annual Report states that nine out of ten rural post offices cannot be maintained on purely a commercial basis;

That the Post Office withdrew the Pension and Benefit payment books and replaced them with the "Post Office Card Account and direct payment into banks";

That the Post Office Card Account, used by 4.5 million pensioners and benefit recipients nationally, will not be used for pension and benefit payments from 2010;

That the £150 million subsidy for rural post offices is due to end in 2008 with no commitment yet to extend it.

Council believes:

That sub-post offices are the lifeblood of communities in rural, suburban and urban areas;

That the most vulnerable residents in the City of York are amongst those most affected by the Post Office's withdrawal the Post Office Card Account - the over-65s, disabled people, carers, unemployed people, and those without a car who find it difficult to use public transport.

Council calls for:

The Government to take action to protect the post office network;

The Government to reverse its decision to discontinue using the Post Office card account from 2010;

The Government to announce immediately that it will continue the subsidy for rural post offices;

The Chief Executive of City of York Council to send a copy of this motion to the Secretary of State for Trade and Industry.