HC Deb 12 November 2001 vol 374 cc544-5W
Mr. Viggers

To ask the Secretary of State for Trade and Industry if she will make a statement on the funding of sub-post offices. [13061]

Mr. Alexander

To start the implementation of all the recommendations of the Performance and Innovation Unit, the Government have committed £270 million of support over three years for modernisation of the post office network. That ring fenced funding is being allocated in accordance with an agreed robust business case from Post Office Ltd.

£15 million has been earmarked for the Department of Transport, Local Government and the Regions to help sustain and improve post offices in deprived urban areas. Up to £25 million has been allocated this financial year for the Government General Practitioner ("Your Guide") trial in Leicestershire which began in July.

The Government are committed to providing transitional financial assistance to rural post offices and decisions on this will be taken following advice from the Postal Services Commission which is expected in the weeks to come. In addition we have made available a £2 million fund to support volunteer and community initiatives to maintain or reopen post office facilities in rural areas where traditional services would otherwise close.

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