Council leaders warn award POCA contract to Post Office 'or rip heart out of communities'
Council leaders have warned that if the government fails to award the contract for administering its benefits card scheme to Post Office Ltd, it could rip the heart out of local areas across the
country.
In a letter to Lord Mandelson, the Secretary of State for Business, Enterprise and Regulatory Reform, council leaders have expressed their concern that post office closures will lead to the deaths
of high streets across the country, denying vulnerable people access to vital services.
Councils have vowed to campaign ‘in force’ to ensure that much needed post offices remain open.
In the joint letter from the LGA and London Councils, LGA chairman Councillor Margaret Eaton and London Councils chairman Councillor Merrick Cockell said: “Councils up and down the country
are deeply concerned about the prospect of widespread post office closures if Royal Mail loses the Post Office Card Account contract.
"For many people, the post office is the lifeblood of the high street and losing it would rip the heart out their area.
“In rural parts of the country, the local post office might be the only shop for miles around and in urban areas, it can be the only access to cash in an entire neighbourhood.
"Many people, especially the elderly, still conduct their financial affairs in cash. This money is often spent at local businesses, so when the post office closes, a whole parade of shops can
follow.
”Councils are committed to creating vibrant areas where people can thrive and keeping post offices open is vital to this. In the past, councils have been at the front line in fighting to
protect vulnerable people’s access to the services post offices offer.
”Whether it’s been working with a village pub so it could double up as a post office or, in urban areas, moving a post office into council buildings, councils have found innovative ways
to deal with post office closures.
“In the current economic climate, where rising inflation and an impending recession mean councils are more pressed for cash than ever, it will be harder to justify spending taxpayers’
money on saving post offices.
“If the government decides not to award the Post Office Card Account contract to Royal Mail, councils will campaign in force to ensure that government funds are made available so that post
offices across the country are saved from closure.”
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