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Post Offices across the South West are facing potential closure as part of a major restructuring that could lead to around 1,000 job losses. The Post Office has announced plans to shut 115 directly-owned branches from its extensive network of 11,500, with the possibility of them being handed over to retail partners or postmasters, or in some cases, closing down.
Approximately 1,000 employees are at risk of redundancy, and further job threats loom at the Post Office’s headquarters where efforts to streamline operations are underway. In the South West specifically, there are 10 stores on the chopping block, unless they are taken over by other companies or independent postmasters.
Post Office chairman Nigel Railton outlined a “new deal for postmasters” which aims to increase their revenue share and give them more influence in business decisions, as the organisation seeks to move past the Horizon IT debacle that led to the wrongful convictions of numerous subpostmasters. These changes hinge on government funding and could result in branch pay doubling by 2030, with an additional £120 million expected by the end of the first year.
Mr Railton shared these details during a speech at the Post Office’s London headquarters on Wednesday, addressing postmasters, retail partners, and staff members nationwide.
Post Office branches in Teignmouth, Paignton, Bideford and Plymouth’s Mutley Plain are among those poised for closure. Meanwhile, in Cornwall, Newquay and Liskeard are also at risk of shutting their doors. 10 stores in total in the South West are at risk.
Mr Railton stated: “The Post Office has a 360-year history of public service and today we want to secure that service for the future by learning from past mistakes and moving forward for the benefit of all postmasters. We can, and will, restore pride in working for a business with a legacy of service, rather than one of scandal.”
He further noted that the overhaul also “begins a new phase of partnership during which we will strengthen the postmaster voice in the day-to-day running and operations of the business, so they are represented from the frontline to the boardroom”. The 115 branches at risk are Crown Post Offices located in city centres and staffed by Post Office employees.
These are the only remaining branches directly owned by the Post Office, down from nearly 400 in 2010. Retailers such as WH Smith, Tesco, Morrisons and the Co-Op operate around 2,000 Post Offices across the country while the rest of the network – about 9,000 Post Offices – are operated by independent postmasters.
A spokesman for the Post Office said: “The plan intends to create a new operating model for the business that means ensuring the Post Office has the right organisational design.”
