HC Deb 25 November 2002 vol 395 cc37-8W
Mr. Hoban

To ask the Secretary of State for Trade and Industry what assessment she has made of the take- up rate of the post card account needed to ensure the financial viability of the urban sub post office network once the Urban Reinvention Programme has been completed. [82164]

Mr. Timms

[holding answer 21 November 2002]Urban reinvention is a modernisation and restructuring programme designed to ensure that urban sub post offices can operate as viable businesses for their owners and offer improved services from the right locations to serve their communities.

As identified in the PIU report on the future of the network, the future viability of the restructured urban network will depend on the ability of the business to maximise commercial opportunities, improve efficiency and improve the quality of individual offices. It is anticipated that banking services will make a major contribution towards ensuring a viable future for many urban post offices.

Universal banking services (both the card account and the banks own basic bank accounts), together with the Post Office's plans for an expansion of network banking (commercial arrangements between the Post Office and individual banks providing access to standard bank accounts over post office counters), should lead to a substantial increase in the number of people using post offices to do banking transactions. Wider access to bank accounts at post offices opens up a very much larger market than benefit recipients alone, and this should benefit sub-postmasters both directly and through increased footfall.

Mr. Hoban

To ask the Secretary of State for Trade and Industry what commitments have been made to banks concerning the number of(a) basic bank account and (b) post office card accounts that will be opened. [82167]

Mr. Timms

[holding answer 21 November 2002]No commitments have been made to banks concerning the numbers of Post Office card accounts or basic bank accounts that will be opened.

Mr. Hoban

To ask the Secretary of State for Trade and Industry whether there is an upper limit for the number of post card accounts that can be opened. [82168]

Mr. Timms

[holding answer 21 November 2002]The aim of the benefit payment migration to ACT and marketing strategy will be to ensure that each customer has the best account for his or her circumstances. There are no eligibility criteria and no cap on numbers for the card account at the Post Office. Customers will choose the account they want.

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