Select Committee on Trade and Industry Minutes of Evidence


Examination of Witnesses (Questions 40-43)

AMICUS-CMA

16 NOVEMBER 2004

  Q40 Judy Mallaber: You have called for Government support for the directly managed branch network similar to that given to rural post offices, particularly in areas where it is needed to maintain a social and community service. The Government has made it clear that they want the post office network to operate on commercial lines. What arguments would you make to persuade the Government to act otherwise?

  Dr Skyte: There is no problem whatsoever in Post Office Limited and the whole of the post office network operating on commercial lines and making a surplus, you would just close 80% of all the post offices. Going against that are the social and community needs and services. The Government cannot have it both ways. There is a need to support rural post offices because of their nature and we would say in a similar way there is a need, not necessarily permanently but as an interim measure, to try and provide a degree of support to those post offices which are judged to be essential for a particular community or the area and which without such support would either close or would have to move somewhere else. In the Network Reinvention programme when decisions were made about whether particular urban post offices should close it was based upon whether there was a Crown post office within the vicinity that could be the receiving branch, but if there are no directly managed offices close by then you are left without that support. We believe there ought to be consideration given to network support through urban offices plus also support from other beneficiaries of the service, whether it is local authorities or third party agencies, as happens in other countries. There is no reason why local authority services could not be developed in a greater way through post office branches. In London I do not see why people should not be able to pay the Congestion Charge or buy Travelcards from the post office, which currently they cannot do, and you can have similar things in other local authority areas.

  Q41 Judy Mallaber: Is that what you have got in mind when you talk about support from the community in which directly managed branches are sited, that kind of revenue raising from other sections within that community?

  Dr Skyte: Yes.

  Q42 Judy Mallaber: Do you have any other examples?

  Dr Skyte: Parking permits and charges, rates, third party agency services, for example in Sweden they have Postem. Messaging and logistics services are being developed through the network of post offices. It is a question of being more imaginative and moving towards a place where people can provide a service to the community over and above those that exist already. There needs to be a joined-up policy both nationally and locally. If managers were given encouragement to manage and more investment was put into training they could develop local initiatives that will not have to be developed from the middle of London, they can be developed locally with managers making connections and joining up with local providers in the vicinity.

  Q43 Chairman: I think we have covered pretty well all the points, Dr Skyte. Is there anything else you want to say at this juncture?

  Dr Skyte: No. I think we have covered everything that we wanted to cover. Thank you very much.

  Chairman: We will get back to you if there is anything else we need to hear from you about. Thank you very much.





 
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