Willie Penrose (Longford-Westmeath, Labour) | Oireachtas source

I thank the Ceann Comhairle for selecting this topic for discussion, because it is important to people throughout the country, especially those in rural areas. Prior to Christmas, the Minister for Social Protection, Deputy Burton, in the company of Mr. Christoph Mueller at the GPO, announced the renewal of the contract relating to the delivery of cash payment services to customers in receipt of social welfare. Said contract is worth €50 million per annum to An Post and it will obviously secure the position of sub-post offices throughout the country. The contract is for two years initially but can be renewed. Obviously, however, we must ensure the need to sustain post offices is recognised.

The programme for Government contains a specific commitment in respect of ensuring the sustainability of the post office network, which is a national and strategic asset. Commitments are easy to write and verbalise and they can easily morph into aspirations. To put flesh on the bones of the commitment to which I refer, there is a need for the Government to produce a comprehensive plan of action in respect of this matter. A whole-of-Government approach will be required in this regard, with each Department being obliged to have an input or make a submission. When this process is complete, the Government would formulate a cohesive plan of action and produce a report within six months or so. This matter cannot be placed on the long finger. A report must be produced, action must be taken and results delivered. All Departments should be obliged to identify new business opportunities they intend to pursue or existing businesses with which they are involved, the services relating to which could easily be provided by means of the post office network.

As a Deputy who represents a rural constituency, I have called for many years for the provision of a new banking service for people throughout the country. We are all aware of the many bank branches and sub-branches throughout the country - including in Westmeath and Longford - that have been closed. This has had a hugely negative impact on rural areas. The Government should examine the possibility of providing a banking service through the post office network and operated by An Post. Those who run An Post need to wake up and smell the coffee and be creative and forward thinking. They must rise to the challenge, and rather than always announcing the closure of post offices, they should seek to install electronic funds transfer facilities at all their 1,150 outlets. An Post offers a range of savings products on behalf of the State, via the NTMA. These products are very attractive in the context of encouraging people to save money. However, An Post must expand its operations and provide current account facilities, either on its own behalf or on behalf of certain of the banks. Some post offices provide such facilities but there are huge opportunities in the context of providing services on behalf of Departments, semi-State bodies and local authorities.

Such areas should be considered with an open mind. A very great volume of business is available by means of online marketing and sales. An Post could play a key role in developing capacity to capture this niche market opportunity and be a delivery agent for same. The Government in conjunction with An Post should invest significant capital in these developments in the context of economic and social policy. The two policies cannot be divorced. Social policy is very important and it is very difficult to quantify it on a balance sheet. This is the problem with straight-line economics, quantification and cost-benefit analysis which are unable to capture and encompass the very important aspect of social policy. It discounts social policy and that is the big failing. The post office network has approximately 1,150 post offices available to carry out this work and with a high level of contact with the public. It provides services to 1.7 million people each week, including 800,000 social welfare customers. It is also an important focal point for public interaction.

Last March, the Joint Committee on Transport and Communications prepared a detailed and comprehensive report on promoting the sustainable future for the post office network. It represents a very good starting point for the production of a Government-led plan. The committee made a number of key recommendations which I support and I reiterate here. People have a genuine affection for the post office and the service it provides. Very often it is the main point of contact for people who live in rural isolation in particular. It plays a central role in the lives of people across rural and urban areas which explains why this is such an important issue. I urge the Minister of State to go back to the Minister to ensure that a plan is provided to tackle this problem once and for all.

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