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29th July 2008
Rural post office alternative 'does not have the funding to help businesses'
Rural small businesses are likely to be most affected by government plans to close 2,500 post offices, a leading pressure group has said.
Following the announcement from the House of Commons' business and enterprise committee that the proposed rural 'outreach' replacement service will fail unless it is provided with more funding, the Forum of Private Businesses (FPB) said that a good postal service was vital for many small businesses.
The proposed outreach services will be located in places such as pubs and community centres, but one postmaster told the committee that the current funding package only works out at £12 per day per branch.
FPB policy representative Matt Goodman acknowledged that it would be "unsustainable" for postal services to continue in their current form, he stressed that they play "an important social and economic role in local communities".
"It is important that adequate investment is ploughed into retaining the level of service that has historically been provided for small firms. This report suggests that this is not happening," he added.
Earlier this month, the FPB stressed that it believes that the closure of rural post offices will have a serious impact on the fate of many small retailers.
(c) 2008 Adfero Ltd.
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