§ Mr. WigleyTo ask the Secretary of State for Trade and Industry if he will make it his policy to introduce subsidies to maintain the current network of rural sub-post offices.
§ Mr. LeighThe Government have no plans to introduce a subsidy to maintain the current network of rural post offices. This is because the Post Office is committed to maintaining a nationwide network of post offices adequate to enable it to fulfil its statutory duty to have regard to the social, commercial and industrial needs of the United Kingdom. We are content that the Post Office manages the network in full recognition of its commitment.
§ Mr. WigleyTo ask the Secretary of State for Trade and Industry what plans he has to bring forward legislation allowing Post Office Counters Ltd. to negotiate new business with banks, building societies and insurance companies.
§ Mr. LeighPost Office Counters' powers are set down in section 7 of the Post Office Act 1969, as amended by section 58 of the British Telecommunications Act 1981. There is provision for these powers to be extended, subject to specific ministerial consent.
The Government recognise the desire of Post Office Counters to increase its efficiency by offering its customers additional services. But we continue to be reluctant to see any extension of the public sector not least because unfair competition may result. For this reason, despite careful consideration we have not been able to approve requests from Post Office Counters for extensions to its powers. We shall nevertheless continue to consider on their merits any specific requests.
Sub-postmasters may and do offer a wide range of products in the non-post office parts of their premises, their main restriction being that these should not compete with those offered at the post office counter.