To update the Cabinet on the Government’s post office closure programme and the progress being made on an initiative to develop sustainable options for the delivery of post office services to rural communities in Herefordshire and to evaluate how Essex County Council’s intervention may be applicable to a rural county.

The Cabinet Member Economic Development and Community Services presented a report updating Cabinet on the Government’s Post Office Compensated Closure programme and added that proposed closures in Herefordshire were due to be announced publicly on 27 August 2008. He commented on the low morale amongst sub-postmasters and mistresses and quoting the Rural Shops Alliance, speculated that many post offices were hoping to be part of the compensated closure programme, before closing. Therefore, the final closure numbers could exceed 2500. The Cabinet Member also commented that the National Federation of sub-postmasters had warned that a further 3000 small post offices could close if the Post Office card account was awarded to another supplier, other than the post office.

The Cabinet Member went on to say that the 17% national anticipated closures would translate into 15 post office closures in Herefordshire. He touched on the work Herefordshire Council was doing in association with the Rural Shops Alliance and Business Link to investigate the provision of essential services such as Parcel Post, Bill Payment and Access to Cash, in the event that these services were not provided locally in a post office.

Before the subject was opened up for debate, the Cabinet Member mentioned the Essex Model, stating that originally the intention was to save 31 post offices. This has now been reduced to 2. The issue of  “State aid” has created complications with the Essex Model concept. In addition Post Office Ltd have confirmed that the Essex Model must be seen as a separate exercise outside the national closure programme.   

Several members commented on the prospect of integrating a post office with another community facility such as a school or library. In response to this, The Parish Liaison and Rural Services Officer drew attention to Colwall Post Office as an example. He said that co-location with the Library was originally considered, however costs for adapting the building were deemed to be too high.. He was pleased to report that, with the support of the Parish Council and the local community, Colwall’s post office had re-opened the previous Monday

In response to a question from a Member in Attendance about the closure of Bosbury Post Office, the officer stated that the village’s post office had been temporarily closed as part of closures in the Gloucestershire region. He stated that both the Member and the parish council had been advised that the closure was only temporary and there were options for re-opening the facility. However it was emphasised that any support initiative to reopen a post office would be dependant on the community wanting the assistance.

Regarding the principle of establishing a post office within a school site, Members stated that this would be worthy of future consideration, as it would provide ready access to most members of the community.

Members gave their support to the amended recommendation as it strengthened the view of the council. Several members did, however, express concern that communities should not be given false hope on the issue, as widespread closures were inevitable, especially considering the current economic climate.  Members also expressed concern that many larger post offices in other areas had been amalgamated with branches of WH Smith.

Several members commented on the fact that a large number of services had been taken away from the post office by the Government, in recent years. This had led to a decreased reliance on the need to visit post offices. It was also noted by Members that access to cash in rural locations was of particular concern to older members of the community as often cash machines in local shops imposed a large transaction fee, which they considered unfair particularly for smaller amounts of cash.

Several members asked that the council give consideration to making some of its services available through the post office as an alternative to the info shops within the county as these had proved a useful informal social service. 

Members agreed that the Post Office provided a vital community facility and that the Council should do all in its power to save as many as possible from closure and so endorsed the recommendation.

RESOLVED that

The Cabinet Member and officers will work actively with the Rural Shops Alliance, Business Link, Post Office Ltd and other parties in delivering the action plan proposed.