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POST OFFICE NETWORK BEING STARVED OF BUSINESS BY GOVERNMENT - LORELY BURT MP

October 23, 2006 12:00 AM

Solihull's Lib Dem MP, Lorely Burt spoke in defence of post offices in last week's parliamentary debate on their future.

She defended the current network saying that sub post offices were a vital part of the community in urban and well as rural areas, and accused the government of starving post offices of business in a deliberate attempt to close down thousands more.

Lorely Burt MP said:

"The Post Office network is being starved. Through the loss of pensions and benefits payments the Government have taken away £400 million of business from post offices.

"The loss of television licence business is another huge blow, whether or not the BBC has been constrained by the Government's failure to provide network guarantees.

"Why has the Post Office not been allowed to bid for the 70 new passport centres? The loss of the Post Office card account is of great concern. Some 4.5 million people still prefer to access their benefits through the Post Office Card Account, including some 5,000 in Solihull."

Mrs Burt said that following the closure of 7,000 post offices under Labour and Conservative administrations, a further 4,500 were being put at risk because government subsidies were under review and much of the stable business for sub post offices had already been withdrawn, plunging thousands more post office businesses into financial difficulties.

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