Select Committee on Business and Enterprise Written Evidence


Letter from Graham Stuart MP

  Thank you for your letter dated 6 December. I am delighted that your Committee will be looking into this important issue, which is of great concern to local people in Beverley and Holderness. Let me explain the current situation in my constituency.

  As you may be aware, I represent a rural area with an older than average population. Some 18% of its population is over 65, compared with a national average of 15%, and many people live in isolated rural communities with a less than ideal public transport network.

  The Government's restructuring programme proposed four local Post Office closures in the constituency: in Hollym near Withemsea, in Mappleton near Hornsea, in Lockington near Beverley (albeit replaced by four hours of outreach) and in Grovehill Road in Beverley. These were all confirmed by Post Office Ltd just before Christmas, following the statutory six-week consultation period.

  The decision has had a profound impact on the local community. During the six-week consultation period, more than 8,000 residents in Hull and the East Riding wrote to the Post Office opposing the planned closures. I handed in a petition to No 10 Downing Street containing the names of 5,000 people opposing the planned closures in my constituency. More than 80 people turned up to a public meeting on a cold autumn night to show their support of the Grovehill Road branch. The East Riding of Yorkshire Council also announced that it was opposed to the closures.

  Of all the decisions to close individual Post Offices across Beverley and Holderness, and across the country, the Grovehill branch seems one of the most bizarre. Grovehill is a huge success. It takes in between £150,000 and £165,000 each week and is used by around 1,500 loyal customers. Roughly 65% of these are over 65. The branch is a lifeline for hundreds of people. I joined a long queue of customers on a Monday morning in November an hour before the branch opened.

  With Beverley set to expand further, there can be little doubt that the branch will be in further demand in the future. Its closure, therefore, cannot be justified on purely economic grounds. Nor, however, can it be justified on social grounds. The recent Trade and Industry Select Committee report on the restructuring programme rightly stated "We believe that other natural and social barriers should also be taken into account. These might explicitly allow for other factors affecting actual accessibility, rather than raw distance". This is especially relevant to Grovehill.

  The branch is situated on one of the largest social and private housing estates in the whole of the East Riding of Yorkshire. Its occupants are among some of the poorest and most vulnerable people in the area. There are also lots of elderly people living in and around the estate. Forcing these people to walk from the centre of Beverley, at least 20 minutes away, carrying large amounts of cash, does not strike me as a sensible proposal.

  The closure of Grovehill will also have an adverse impact on congestion. If the branch were to close, people would be forced to use the main Register Square branch in the centre of Beverley, which is not on a through road. The nearest bus stop is more than 250 yards away, which was mentioned in the Post Office's consultation document even though the bus from Grovehill does not travel to it. People from Grovehill will find themselves at the town's main bus station—around 500 yards away. There are no parking spaces outside the branch except for those with a disabled badge, and precious few of them. Congestion in and around Register Square is already a frequent occurrence end will only be exacerbated by the addition of hundreds of Grovehill Road customers.

  I can see no reason for Grovehill's inclusion in the Governments closure programme and in this respect, the decision to go ahead with its closure was made with little reference to the views of local people, who overwhelmingly voted for its intention. This has led to widespread disillusionment with the process of local consultations and has left people feeling removed from the centre of decision making.

  Many people had complaints about the consultation process itself. Firstly, the six-week statutory period was far too short. It provided insufficient time for residents and local councils to digest the consultation document and establish their response. It also prevented local people from building up a proper campaign network. The Cabinet Office guidelines suggest a timetable of 12-week and this surely would have been more suitable.

  Secondly the conduct of Postwatch was a cause of great concern. Postwatch, the supposed consumer voice, were remarkably quiet throughout the whole process. One representative turned up to the public meeting to discuss the Grovehill Road branch, but said little. Other that that, I was not contacted by them at all throughout the six-week period.

  It is the responsibility of Postwatch to ensure that individual branch closures do not have an adverse impact on local communities. They have the authority to contact the Royal Mail Group when they think a decision needs to be looked at again. They should have been much more visible to the general public and should have made more of an effort to explain their supposed role in the process.

  Post Office, on the other hand, were easier to deal with. They kept me informed of what decisions were being taken and when. They agreed to meet with me to discuss each individual branch closure and were fully briefed on all the issues surrounding that branch. The consultation document was clear, concise and published in good time and I received few complaints from my constituents about its layout. They also turned up to the Grovehill Road public meeting.

  One area of concern relates to the general lack of information available to my constituents. For example, at the Grovehill Road public meeting we were repeatedly told that the Post Office was losing £3 million a week, yet we were not given specific information about the profitability of the branch (I was told only in confidence). People therefore couldn't make a proper assessment of the branch's viability. Without wishing to pry into the personal finances of the Sub-postmaster, some non-confidential information would have enabled people to see if there was a pattern of increasing or decreasing profit or loss.

  Another area of concern relates to the number of Post Office branches the Government has stated it wishes to close across the country. Alistair Darling, in his statement to the House last year, said that 2,500 branches would be shut. This was the Government's figure and we were told that it was non-negotiable. We were also told that if one branch was to earn a reprieve, another one not too far away would have to be sacrificed. Yet I have not seen any mechanism for how that subsequent loss would be consulted on. This strengthens the argument made by some that the consultation was not genuine and that the Government intended to close these 2,500 branches no matter what.

  In conclusion, my main areas of concern are fourfold: the totally inadequate length of the consultation process itself, total ignorance of what would happen in the event of a reprieve for a local branch, the role (or lack of) that Postwatch played in the proceedings and their non-efforts to engage with the local population, and the extent to which the final decisions reflected the will of the local population. In the case of Beverley and Holderness, and the four Post Office branches mentioned, it is my opinion that they did not. In the specific case of Grovehill, the decision to close the branch was one of most bizarre I have ever seen. This is an area that needs to be addressed in your inquiry.

15 January 2008





 
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