Colm Brophy (Dublin South West, Fine Gael)

I welcome the opportunity to outline the position on this matter today on behalf of the relevant Minister, Deputy O’Donovan. An Post is a commercial State company with a mandate to act commercially and, as such, day-to-day operational matters, including decisions in relation to the size, distribution and future of the network, are matters for the board and the management of the company and not ones in which the Minister and Minister of State in the relevant Department, namely, Deputies O’Donovan and McConalogue, have a statutory function. However, the Ministers and Government are very aware of the impact that decisions relating to changes in An Post operations can have on communities and individuals in both rural and urban areas.

An Post has advised that the suggested move of An Post delivery operations from Barnatra delivery office – not a post office – to Ballina in quarter 2 of next year is currently under consideration. An Post notes it should be stressed that the move of the delivery office in Barnatra is still being considered locally and no formal decision on the move has been made at this stage. As noted, this is a matter for the company and as no decision has been made, it would be inappropriate for the Government, as a shareholder, to comment on or prejudice decisions that are for the board and management of An Post to consider.

An Post states it is worth noting that its mail delivery facility in Ballina, which was recently visited by the Minister, represents an investment in local infrastructure and planning for the future of just over €2 million. This is a significant investment in the area and is in line with the national transformation plan the company agreed with the Communications Workers’ Union.

An Post advises that it can confirm outline plans to amalgamate its mail operations in Ballyhaunis and Castlerea as part of An Post’s ongoing investment in and planning for the future of the mail infrastructure in the region. An Post further advises that, in all, 47 staff – 12 from Ballyhaunis and 35 from Castlerea – will jointly work from An Post’s current delivery office in the Castlerea business park. An Post states it is likely that the staff complement at the newly unified base will increase as a result of the merger. An Post advises that the move is likely to take place in the second quarter of 2026. An Post notes all postal staff begin and end their working day in Castlerea while conducting their local deliveries throughout as normal. Additionally, An Post states the site is also the base for 20 of An Post's rapidly growing electric vehicle fleet, part of the largest EV fleet in the country, and the site has been fitted out for further EV post vans to be pressed into service throughout the north west.

An Post also advises that the cases of both Barnatra and Ballyhaunis represent an opportunity to plan for and organise this important piece of local infrastructure to reflect the changing nature of its business, including the huge growth in parcel numbers and the rise in e-commerce and home shopping. An Post notes both potential moves are part of a national transformation plan agreed with the Communications Workers Union.

The Government is committed to a sustainable An Post and post office network as a key component of the economic and social infrastructure throughout Ireland. The programme for Government states the Government will continue to provide the nationwide network of post offices with funding to ensure their sustainability and enhance the value they bring to local communities. The Department of Culture, Communications and Sport is working to deliver on this, and an enhanced amount of €15 million per annum is to be allocated for supporting the network subject to all legal requirements being satisfied.

A sum of €10 million per annum is currently being provided over a three-year fixed term, from 2023 to 2025, to An Post. An Post then disburses this funding across the post office network, with all contractor post offices benefiting from Government funding with the objective of securing the stability of the network.

An Post then disburses this funding across the post office network, with all contractor post offices benefitting from the Government funding with the objective of securing the stability of the network. The funding is being paid monthly for each 12-month period. To date, over €25 million has been claimed by An Post for the network. The current funding provides time and space for An Post to accelerate the transformation and commercialisation of the network to ensure relevant, viable network delivery.

An Post has over the last number of years been transforming its business by delivering new products and formats in the way it operates. This includes, among other things, diversifying and growing the financial services products it provides for individuals and SMEs. An Post is also providing agency banking services.

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