Sub-post Offices (Compensation)

Trade and Industry written question – answered on 16th October 2001.

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Photo of Mr Peter Duncan Mr Peter Duncan Conservative, Galloway and Upper Nithsdale

To ask the Secretary of State for Trade and Industry what plans are (a) in place and (b) under consideration to compensate proprietors of sub-post offices whose businesses become unprofitable after withdrawal of benefit payments by cash.

Photo of Douglas Alexander Douglas Alexander Minister of State (e-Commerce & Competitiveness)

Benefit and pension recipients who wish to collect their benefits in cash at post offices will continue to be able to do so after the change in payment arrangements, beginning in April 2003, by means of Universal Banking Services.

The Government have committed £270 million of support over the next three years to start the implementation of the Performance and Innovation Unit's recommendations, all of which the Government accepted, for modernisation of the post office network. The Government remain committed to maintenance of a nationwide network of post offices.

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