Post Office (Hansard, 27 October 1975)

§ 1. Mr. Michael Morris
asked the Secretary of State for Prices and Consumer Protection what discussions she has recently had with the Post Office Users' Consultative Committee.

The Minister of State, Department of Prices and Consumer Protection (Mr. Alan Williams)
My Department is in regular contact with the Post Office Users' National Council on issues of concern to the consumer.

§ Mr. Morris
Is the Minister aware that the public are at present totally disillusioned with the service that the Post Office is offering and, indeed, with the Government's handling of the recent price increases? As a result of the hon. Gentleman's negotiations with the Post Office Users' National Council is he able to tell the House that the inquiry into the Post Office will be a comprehensive one, and not merely another one of the whitewashes that we have come to expect from the Government?

Mr. Alan Williams
The hon. Gentleman will know that my Department took part in the original discussions on the POUNC report and, indeed, I think that we can claim that we had some influence in having it decided that there would be an inquiry. Obviously we want the inquiry to be a reasonable and wide-ranging inquiry, and we have no interest in participating in a whitewash.
1000 Concerning the recent price increases, of course this is a matter for disquiet. We are not exactly pleased about it, but the fact is that 75 per cent. of all postal work is for business and 66 per cent. of telephone work is for business. Therefore, any extra subsidy in the Post Office sector would subsidise industry rather than the consumer.

§ Mr. Raphael Tuck
Does my hon. Friend realise what a terrible blow it is to old-age pensioners to have to pay 6½p for second-class post for Christmas cards or 8½p for first-class postage on cards? Would the heavens really fall in if the Post Office allowed old-age pensioners a concession on this so that they do not have to spend those large amounts?

Mr. Alan Williams
I fully understand the sympathetic motives which prompt my hon. Friend's question. He will bear in mind that this is not the responsibility of my Department. It is the responsibility of the Department of Industry—

§ Mr. Raphael Tuck
Buck passing.

Mr. Alan Williams
Perhaps my hon. Friend will listen for a moment. He should bear in mind when considering the announcement by the Post Office in which it said that it was unable to give the concession for which he asked that about an extra 60 million Christmas cards would need to be posted in order to make up the lost revenue that the Post Office anticipates, and this would still not cover the extra administrative costs.

§ Mr. Geoffrey Finsberg
I declare my interest as a member of POUNC. Does the Minister accept than POUNC has been pressing without success for more than three years for this concessionary rate for Christmas cards and the Post Office has refused to carry out a proper experiment? Concerning the inquiry, will the Minister agree to consult POUNC before finalising the terms of reference?

Mr. Alan Williams
The hon. Gentleman is very helpful in making that point. It is five years since POUNC put forward that recommendation. In three of those five years the Conservative Party was in Government and chose not to implement the recommendation. Now we have a sudden deluge of tears and sympathy from Opposition Members who hardly noticed the recommendation in the past.