31st March 2013

[PO1]

How many Crowns will go?

[The BFO]

I suspect less than some may think, because there seems to me to be little interest from anyone to take them on. If WH Smith had made a success of the seventy or so they took control of several years ago they would have many more by now.
Bridgwater Main Post Office has been housed in a portable structure in a disused car park for nearly a year. It was 'converted' from a Crown Office six months before the last big cull, and the news agency that ran it publicly admitted they could not make a profit. A few months ago there was talk that it may be incorporated in the local Sainsbury store, but now the Area Manager says he does not know when an announcement on it's future will be made. There is a large WH Smith branch in the town centre, which I believe says it all.

I think a more pertinent question may be what will happen to the Terms and Conditions of staff in Crown Offices from March?

[PO1]

I agree it will be interesting to see how things develop with regards to MTSF and all other t&c's going forward. Profitability going forward to 2015 is the dictated aim from the government and this will only be achieved in my opinion by cutting staff costs.
I'm not expecting the franchise route because, as you quite rightly say, no one wants us. Frankly I think a cull is on the cards heading to a "sizeable" Crown network of about half it is now by 2015.
Again my honest opinion is that a deal is being hammered out at the moment to enable the closures to happen quickly and smoothly. The last thing POL need is a bunch of angry counter clerks on a picket line.

[LinChong]

This is the date that the DVLA contract with the Post Office runs out. There are two bidders for the new contract, Post Office Ltd and Paypoint. The Government hasn't decided who to award the contract to:

"Hundreds of post offices face an uncertain future after the award of a £600m contract to provide driving licences and tax discs was delayed by the government, say MPs and unions.

The Driver and Vehicle Licensing Agency (DVLA) had been expected to award the contract in October, with the Post Office and bill payment service Paypoint submitting bids, but it will not be decided until the end of November.

It is feared that if the contract ends up in the hands of a private contractor new laws would have to be passed for the company to issue tax discs.

Post office unions believe the uncertainty is hurting its members, who rely on up to 20% of their revenues on the DVLA contract, which ends in March 2013.

George Thomson, general secretary of the National Federation of SubPostmasters said: "The DVLA contract is essential to the future of our post offices.

"The ongoing delay in announcing a decision on the contract is having a highly unsettling effect on the national post office network and on individual subpostmasters' ability to plan for the future.

"Certainly, if the contract isn't awarded exclusively to the Post Office, it would be catastrophic for the UK's post offices – thousands of branches may be forced to close and the government's policy on the post office network will be left in tatters."

Ministers have consistently said they want the Post Office to become the front office for government, with the transport department saying it should act "as a natural home for the delivery of face-to-face government services and helping citizens interact with government online."

However, shadow Postal affairs minister, Ian Murray warned the government is failing in its commitment.

He said: "Post Offices are under real strain at the moment and this was a real opportunity to give them a boost and for the government to show how seriously they want to support it.

"I'm surprised by how long it's been delayed when there are only two bidders.

"However, I have been told that a legislative change would have to go through if the contract was handed to Paypoint to sell tax discs. I hope that's not the reason for the delay."

He said he has written to the Department for Transport, which makes the final decision, asking for an explanation for the delay.

Politicians have been inundated with letters from constituents calling for the DVLA contract to be renewed with the Post Office, as many fear it could lead to further closures.

Mike Weir, SNP MP for Angus, said: "I cannot remember a campaign like this. A really surprising amount of people feel strongly about this and I would hope the government and DVLA are watching.

"Hopefully the delay could be a ray of light as the sit up and take notice of the support for the Post Offices."

Liberal Democrat peer, Baroness Rosalind Scott, agreed and said the topic has been discussed at her local council, leading her to raise the issue in the House of Lords.

She said: "Post offices hold things together and the danger is its like a game of giant Jenga; you pull one block out and the whole thing falls down.

"What post offices want is some certainty about the way forward. They want to plan ahead like all businesses and know what to invest in. It's beginning to get desperately close to the wire with a decision made at Christmas over a contract that starts in March."

A spokesman for the DVLA said: "We have completed the evaluation process and we will announce the contract award in due course following final governance steps. We hope to make an announcement during November."

http://www.guardian.co.uk/business/2012 ... fices-660m" onclick="window.open(this.href);return false;