Noel Dempsey (Meath, Fianna Fail)

Issues relating to the terms and conditions of postmasters and post office closures are, in the first instance, matters for the board and management of An Post and ones in which I have no statutory function. Despite this, I and some of my Cabinet colleagues have met representatives of the IPU on a number of recent occasions. I also addressed the IPU's annual conference in 2005 and 2006.

Last year, to facilitate and broaden the discussions between postmasters and An Post, I appointed Eamonn Ryan to examine issues of mutual concern and to propose a plan for their resolution. I, therefore, urge all parties to engage in negotiations in a positive manner with a view to reaching a mutually agreeable outcome.

The Government continues to be committed to the objective of securing and maintaining the largest economically sustainable post office network possible. This extends to the postmasters, whose financial security and strong relationship with customers are vital to the continued viability of the network.

Last September, Government approval was secured for An Post to enter a joint venture agreement with the Belgian bank, Fortis, to establish a retail banking business. Key to the Government approval of this joint venture was that it not only offers a real opportunity for the growth and development of An Post and the post office network but that it will, in time, greatly benefit the income streams of postmasters.

My Department and I receive regular updates on progress being made with the joint venture and have heard nothing to suggest the deal is in danger. An Post still expects the joint venture to launch its services in early 2007. I urge the IPU to reconsider the position it has taken in this regard, as the successful roll-out of the joint venture is of great importance to the future viability of the post office network and improving the welfare of postmasters by providing an alternative source of income. My Department and I, in the course of meetings with An Post, have also impressed upon the company the importance of engaging with the IPU on the joint venture.

I have no plans to publish a Green Paper on the post office network.

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