Mr. Justin Moran:

I thank the Chairman and the other members of the committee for giving me this opportunity to speak. I will begin by recording our concern about the likely impact of the Communications Regulation (Postal Services) (Amendment) Bill 2016 on older people. It is widely recognised that older people are more likely to use the postal service. According to media reports before Christmas, the price of a national stamp could increase to between 90 cent and €1. I can tell the committee with absolute certainty that an increase of such magnitude - 25% at the lower end - will be noticed by someone whose sole income is the State pension. Older people will make a conscious decision to send fewer letters, with a corresponding knock-on effect on postal volumes.

I assume a potential increase of this nature would not be considered without detailed research to assess its likely impact on existing mail volumes. It would be helpful for this discussion if such research were published. If research has not been carried out, it should be commissioned because it would be a mistake to proceed with the removal of the price cap in its absence. I recommend that the committee should consider amending section 2 of the Bill to ensure a review of the consequences of any repeal of the price cap starts no later than a year after the commencement of the legislation. Under the Bill as it is currently drafted, ComReg would not deliver a review to the Minister until two and a half years after the repeal of the price cap, with a further delay before the review would be made public and possibly another delay before any necessary corrective measures could be implemented. If it transpires that the removal of the price cap is a mistake, the sooner we can identify any problem and correct it, the better.

I would like to comment briefly on the report prepared by the Post Office Business Development Group. I welcome the recognition in the report that the post office is an essential service for facilitating communication and interaction in local communities. It is especially important for older people who use the post office to collect pensions, access cash, pay their utility bills, save money, buy stamps and, most importantly, meet their friends. One member of Age Action Ireland has described the local post office as the most sociable place in town. For many people, pension day continues to be the highlight of the week. Other members with whom we spoke in advance of this meeting told us that the post office is the only place for them to meet people to catch up and that post office closures help to isolate the elderly.

The closure of post offices in rural communities forces older people to rely on the rural transport system - as Deputies and Senators are aware, it is absolutely not fit for purpose - or on the kindness of friends and family members to get to the next town. As a result of the closure of the post office in the west Galway village of Cleggan in September 2015, the 260 residents of Cleggan must now travel 3 km to Claddaghduff for postal services. A local resident has explained that pensioners and others with disabilities are struggling to pick up their benefits. While the issue of post office closures is often seen as a rural one, urban communities are also affected. A supporter of Age Action Ireland told us in advance of today's meeting that since the closure of the post office in Sandymount, some older people are hiring taxis to get to other post offices to conduct their business. Post offices are undoubtedly of greater importance in more rural communities but we should not lose sight of the centrality of this service in larger towns and cities as well.

The report touches frequently on the increasing use of online communications, which has been raised by many of those who have already spoken at today's meeting. With the rise of e-mail, there is a corresponding decline in postal volumes. We are certainly becoming more digitally focused as a society. I emphasise the importance of appreciating that not everyone is moving at the same pace. In September 2015, a EUROSTAT report found that just 37% of Irish people between the ages of 65 and 74 use the Internet. This compares unfavourably with Britain, where the figure is 70%. Across the EU as a whole, the average rate of Internet use among this age group is 42%. These figures take no account of people aged 75 and over. The most recent figure for such people comes from the 2013 national digital strategy, which found that Internet use among those aged 75 and over is negligible at approximately 3%. I stress that this figure is not low because older people are incapable of learning. Age Action Ireland's Getting Started programme, which is funded by the Department of Communications, Climate Action and Environment, has provided free one-to-one training in computers to almost 30,000 older people over the past ten years. We know that older people are as capable of mastering new technologies as anyone else but we also see nervousness among many of our members about learning something new and frustration among those who are unable to use what they have learned after they leave our classes because they live in broadband blackspots. Despite the rise in the use of e-mail, a robust and sustainable post office service and network remains essential for such people so that they can communicate with their friends and family and carry out their daily business.

We strongly support the recommendations in the report regarding the expansion of banking and financial services. We look forward to the introduction of the new payment account highlighted by An Post today and in its presentation to the Joint Committee on Arts, Heritage, Regional, Rural and Gaeltacht Affairs. The report notes that banks are moving away from providing financial services in rural communities. I am not sure that members of the committee fully appreciate the frustration of many older people with their current banking providers. In 2014, research carried out by the County Wicklow network for older people found that many older people are very critical of the service provided in banks. They are frustrated by restrictions on counter services, by overt pressure from bank staff to use automated services and by the continued efforts of banks to move services online. It is a recurring complaint that our staff hear from older people across the country who prefer to carry out their financial business face to face, dealing with people they know, trust and on whom they rely. I believe there is an enormous opportunity here for An Post. I suspect that many older people will be eager to avail of it. I thank the members of the committee for their time.