The Post Office has announced potential closures of 115 Crown Post Office branches, placing up to 1,000 jobs at risk in a significant restructuring aimed at reducing losses.
The proposed changes may lead to franchise arrangements with third-party operators like WHSmith taking over affected branches. However, this shake-up has drawn sharp criticism from unions and community advocates.
The Communication Workers Union (CWU) condemned the timing, as the move coincides with the ongoing Horizon IT scandal inquiry, labelling it “immoral” and “tone deaf.” The Horizon scandal, in which hundreds of sub-postmasters were wrongly prosecuted due to faulty software, remains fresh in the public memory, with many calling for transparency and justice.
Under new chairman Nigel Railton, the Post Office aims to put the organisation on a more sustainable financial footing amidst challenges like competition from parcel operators and declining letter revenues. Losses reached £81 million in the 2022-23 financial year, with nearly half of its branches operating at minimal or negative profitability.
Railton emphasised the need for a “fresh start,” with plans to invest £250 million annually in the network by 2030, contingent on government support. This includes an improved banking offer and a modern, “lower-risk” IT system, addressing long-standing technology issues. Railton described the process as “right-sizing” the organisation to better meet future demands.
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