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Post Office Network

Dáil Éireann Debate, Tuesday - 4 October 2016

Tuesday, 4 October 2016

Questions (347)

Michael Healy-Rae

Question:

347. Deputy Michael Healy-Rae asked the Minister for Arts, Heritage, Regional, Rural and Gaeltacht Affairs the status of the implementation of measures in the programme for Government concerning post offices (details supplied); and if she will make a statement on the matter. [28222/16]

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Written answers

The post office network includes approximately 1,130 post offices, of which only 51 are owned by An Post, with the remainder being independently contracted to An Post and largely co-located with other retail units. An Post is a commercial State body that generates its income from its business operations, including through the provision of various services for Government Departments and agencies. The company does not currently receive financial support from the Exchequer outside of the funding it receives for the provision of those services.

The postal sector has been undergoing systemic change both nationally and internationally in recent years, with the increased use of electronic communications leading to the decline in core mail volumes year on year. In recognition of this changing business environment, the Post Office Network Business Development Group, chaired by Mr Bobby Kerr, was established in late 2014 to examine the potential for new and existing Government services to be transacted through the post office network and to identify new business opportunities for the network.

The final report of the Post Office Network Business Development Group, which was published in January of this year, made a number of recommendations to support the future sustainability of post offices. These include recommendations in relation to the renewal of the post office network, the development of a basic payment account, the provision of motor tax services, and the creation of hubs around which local economic and social activity could revolve. The report also recommended that An Post should, following appropriate consultation with postmasters and others, review and amend the five-year strategy for the post office network.

The Programme for a Partnership Government commits to acting on the recommendations in the report of the Post Office Network Business Development Group. A number of Working Groups have been established to progress the recommendations, including through the establishment of a Network Renewal Implementation Group, which is being independently chaired by Mr Kerr. This Group is examining the number and spatial distribution of post offices, branch modernisation, the streamlining of products and services, postmaster payments and contracts, and training and qualifications for post office employees.

I have separately established the Post Office Hub Working Group to identify potential models under which the post offices could act as community hubs, especially in rural areas. My officials are also examining the potential for the post offices to deliver services such as motor tax payments and a basic payment account.

The Government is, therefore, taking a range of measures to support the post office network to adapt to the changed business environment in which it operates. The network will, however, continue to operate within the context of An Post’s commercial mandate.

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