Sean Barrett (Independent) | Oireachtas source

I welcome the Minister to the House. He is well known for his wisdom and his wit although I do not know whether this topic will lend itself to that.

Great credit is due to the post office, as the Minister said, for the way in which it has transformed in light of the very strong decline in mail volumes. I note An Post made €2.2 million profit in 2011 and it has reduced its staff by 1,200. The company has adapted and remained profitable and this is to its credit. Many other bodies in both the private and public sectors did not adapt to a changing market. I note the Minister's statement that the payments to the postmasters rose from €55 million in 2003 to €79 million in 2002. The business has re-orientated away from the transfer of mail to the financial services that the Minister has described.

It was strange that the rate of interest from the post office was reduced on foot of pressure from the banks. The Irish Banking Federation issued a statement that it was in favour of this reduction because it was in favour of fair competition. That was a remarkable body to endorse fair competition, having walked out of Government Buildings with €64 billion or maybe €90 billion on 29 September. A case could be made that a post office which did not go bankrupt is able to pay its savers more than outfits which did go bankrupt. I ask the Minister to look at this again. A part of the utility function of banking was to promote thrift and savings, particularly among young people. Banks used to do this before they were taken over by the casino types and perhaps there is a role for the post office.

I refer to Senator O'Brien's point about electronic payments and the payment of social welfare benefits. In the trash section of my computer I have electronic communications from banks with which I have never had an account. Therefore, I avoid electronic payments and I stick with the cheque book. I suggest the Minister, Deputy Burton, should beware of using the electronic method for social welfare payments. Ulster Bank went AWOL about a year ago and it was forced to apologise profusely to people. I ask if this technology will be able to deliver and how does it compare with the current reliable system.

I hear warm praise for the passport application system through the postal system as being an excellent alternative to a queue in Molesworth Street. Regulations exist to prevent money-laundering through use of prize bonds. However, a little old lady attempting to buy a present of a prize bond for her grandson is not likely to be a front for some criminal organisation. I suggest the Minister might have discussions with An Post on that matter. I hear praise also for the provision of foreign currency and gift vouchers. A minor cavil would be that very fine boxes of stamps bought in bundles were replaced by just bundles. I found the boxes much more useful.

I agree with the Minister that the opening hours need to be examined. Some competitors based in filling stations, for example, are open longer. The post office has a problem with the queues in its offices and it may take time to reach the top of the queue.

I have some other thoughts allied to the fortunes of the post office. As a consumer I am wary of the post codes proposal which I understand the Minister is bringing to Cabinet. My constituency includes people on both sides of the Border. Clones is in County Monaghan so I can write to my constituents there but I can never remember what the codes are for Lisnaskea, to give an example of ten or 12 miles down the road. I read last week in The Irish Times that the post codes system is estimated to cost €15 million, plus an annual running cost of €2.5 million. I thought it was intended to save money. Might we have a full cost benefit analysis of that proposal? Undoubtedly, there are salesmen for such technology, going around telling us it is wonderful, saying they would like €15 million of public money. Will we be better off afterwards?

The other proposal concerns the television licence for people who do not have a television, which I find very strange. I can think of variations - a dog licence fee for people who do not have a dog, which would bring in a very large amount of money. It introduces a new principle to public finances - being taxed for something one does not have. Perhaps the Minister, Deputy Noonan, will give the Minister a special prize for that idea but I would be reluctant to go there, even if more people without television sets would be buying such licences in the local post office.

In general, progress has been made in a difficult situation and I commend the Minister and the post office management, the postmasters and their employees. They have a very splendid public image in the way they serve the country which is good to hear in times of recession. I commend all involved, from the Minister down.