HC Deb 10 December 2001 vol 376 cc650-1W
Malcolm Bruce

To ask the Secretary of State for Trade and Industry, pursuant to the answer to the hon. Member for Stroud (Mr. Drew) of 27 November 2001,Official Report, columns 859–60W, on the rural White Paper, what the criteria are for financial support for projects to refurbish and improve rural sub-post offices; and if this support is a one-off payment. [20029]

Mr. Alexander

[holding answer 3 December 2001]: The £2 million sub-post office start-up capital subsidy fund is intended to support initiatives by volunteer or community groups to maintain or reopen post office facilities in areas where the traditional post office is closing or has recently closed. The scheme provides a framework for payments of top-up grants towards the initial capital cost of setting up a sub-post office as many proposals to save rural sub-post offices fail because of lack of a small amount of start-up capital. Eligible costs are widely drawn to cover all categories of one-off costs necessary to secure the future of the sub-post office. The scheme is flexible, recognising that every case for funding will be different and will be decided on a case-by-case basis.

This scheme is one part of a package of measures designed to secure the future of the post office network. Funding arrangements for the rural network beyond 2003 are being developed in the context of advice recently received from the Postal Services Commission on the best way to channel financial assistance to rural post offices from 2003. The £2 million fund targets a specific problem that exists now but will cease to exist when those longer-term funding arrangements are in place from 2003.

Mr. Djanogly

To ask the Secretary of State for Trade and Industry what assessment she has made of the measures taken by Consignia to prevent sub-post office closures in the Huntingdon constituency; and if she will make a statement. [17481]

Mr. Alexander

[holding answer 26 November 2001]The formal requirement placed on Consignia last November to maintain the rural network and to prevent avoidable closures remains in place and will apply in the first instance until 2006. Post Office Ltd. has set up a team of rural transfer advisers to explore all options for keeping rural sub-post offices open and is administering the £2 million Government fund to assist volunteer and community initiatives to maintain or re-establish post office services in rural communities. Through such measures, Post Office Ltd. is continuing its efforts to reopen sub-post offices where there have been recent closures in the Huntingdon constituency.

Mr. Peter Duncan

To ask the Secretary of State for Trade and Industry what assessment she has made of the measures taken by Consignia to prevent sub-post office closures in the constituency of Galloway and Upper Nithsdale; and if she will make a statement. [18032]

Mr. Alexander

[holding answer 26 November 2001]: The formal requirement placed on Consignia last November to maintain the rural network and to prevent avoidable closures remains in place and will apply in the first instance until 2006. Post Office Ltd. has set up a team of rural transfer advisers to explore all options for keeping rural sub-post offices open and is administering the £2 million Government fund to assist volunteer and community initiatives to maintain or re-establish post office services in rural communities. Through such measures, Post Office Ltd. is continuing its efforts to reopen sub-post offices where there have been recent closures in the Galloway and Upper Nithsdale constituency.