I propose to take Questions Nos. 208, 247 to 249, inclusive, and 263 together.
Successive Governments and this one most notably, have consistently stated their commitment to maintaining the post office network as set out in the Programme for Government. The post office is seen as a key piece of financial and social infrastructure for both urban and rural areas. Part of the strength of the post office brand, and one of its chief selling points, is that it reaches all parts of the country and can be assessed by anyone.
My Department’s continuing support for An Post is apparent, both in terms of the cost of postage services and the value of the contract for welfare payments. In this regard, we anticipate this year that we will pay over €50 million to An Post under a contract for cash payment services to welfare customers. This contract is very substantial in terms of its reach, value and impact.
It is Government policy that An Post remains a strong and viable company in a position to provide a high quality postal service and maintain a nationwide customer focussed network of post offices in the community.
In February 2015, the Minister for Communications, Energy and Natural Resources, Mr Alex White, T.D., formally launched the Post Office Network Business Development Group under the independent Chairmanship of Mr Bobby Kerr.
The Group was established after a review by the Cabinet Committee on Social Policy to explore potential commercial opportunities available to the post office network. The Group will engage with a variety of stakeholders including those in the public sector, commercial bodies, post office customers and other interested parties.
The Group’s membership is drawn from the Irish Postmasters Union (IPU), An Post, the Department of Arts, Heritage and Gaeltacht Affairs, the Department of the Environment, Community and Local Government and the Department of Communications, Energy and Natural Resources.
The Terms of Reference for the Group are to:
- examine the potential from existing and new Government and commercial business that could be transacted through the post office network;
- identify the new business opportunities for the post office network, taking account of international experience;
- engage as necessary with the public sector, commercial bodies and other interested parties in pursuit of the above objectives;
- prepare an interim and final report for the Minister in accordance with an agreed timetable.
The Group’s work will be of strategic importance to the future of the post office network. The final report of the Group will be available later this year.
An Post has a contract with the Department of Social Protection for cash payment services to welfare customers. In order to recognise the general societal trend to electronic payments the Department has been changing some of its application forms. The option to be paid at the post office remains on the forms.
I want to emphasise that the amendments do not remove the option to be paid at the post office. This option still remains on the forms. Therefore, customers are free to opt to receive their payment at the post office if they wish.
The Department of Social Protection is conscious of the important role of the post office around the country, not only in respect of social welfare payments but also in offering other financial services such as paying bills and carrying out a range of banking services. The Government has consistently stated its commitment to maintaining the post office network as set out in the Programme for Government.