Seanad debates

Tuesday, 14 July 2026

Postal and Telecommunications Services (Amendment) Bill 2026 [Certified Money Bill]: Second Stage

 

Question proposed: "That the Bill be now read a Second Time."

2:00 am

Photo of Maria ByrneMaria Byrne (Fine Gael)
Link to this: Individually | In context | Oireachtas source

I welcome the Minister of State, Deputy McConalogue, and his officials. Before I call on him to speak, I would like to welcome Camross ICA, guests of Deputy George Lawlor.

Photo of Charlie McConalogueCharlie McConalogue (Donegal, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

The Postal and Telecommunications Services (Amendment) Bill 2026 is a short amendment to the Postal and Telecommunications Services Act 1983. Its purpose is to enable the payment of the agreed funding from the Department of Culture, Communications and Sport Vote to An Post in order that An Post may then in turn disperse this funding to postmasters across its network. The Government is committed to a sustainable An Post and post office network as a key component of the economic and social infrastructure throughout the country. Members will be aware that under the programme for Government, the Government committed to continue providing the nationwide network of post offices with funding, to ensure their sustainability and enhance the value they bring to local communities. I am very glad to have been able not only to secure continued future funding in line with this commitment, but to provide funding at an enhanced level of €15 million per annum, a 50% increase which was approved by the Government in January.

While this may be a short piece of legislation, it has a big impact. The approval provides a clear mandate for this enhanced funding and my Department is working to ensure that the required structures are in place as soon as possible in order to commence providing the funding. In line with the programme for Government, the funding will support the stability and sustainability of the nationwide network of post offices, thereby protecting and nurturing a commercially focused post office network. The principles under which the funding model will operate include maintaining access to the network across urban and rural Ireland, ensuring that no community is left behind; aligning individual funding with criteria, including the degree of isolation and the sustainability of each post office; ensuring a minimum revenue threshold for post offices; and recognising offices of cultural or geographic significance, such as those on inhabited islands or in Gaeltacht areas. The most remote rural and vulnerable communities will benefit proportionately more from the increased funding, thereby helping to safeguard essential infrastructure where it is needed most. The average payment to rural post offices will increase by 78%. The average payment to urban post offices will increase by 44%. Offices located more than 15 km from the next nearest post office will receive the largest increase in funding, at 125%. All postmaster-run post offices will receive an increase in the previous funding with a minimum uplift of €2,000.

An Post has statutory responsibility for the post office network. It must actively explore opportunities to develop new or enhanced product lines for the network. This funding provides time and space for the network to navigate global headwinds and develop new commercial initiatives and services to attract customers, drive footfall and generate growth. I am pleased to note that An Post has advised me that transactions in the network are up by 10% this year, year on year, and postmasters' earnings are up approximately 15% so far this year. The network is a core strength of An Post and the continued development of the network and its services is a vital component to its sustainability. Supported by the Government, An Post must ensure the network's viability. Decisions relating to the network, including those relating to specific post offices, are operational matters for the board and management of An Post and not ones in which I have a function. Furthermore, the terms under which postmasters contract with An Post is a matter between the postmasters and An Post and any negotiations are a matter for both parties directly.

The sole purpose of the Bill before the House is to provide a statutory basis for funding to be paid from the Department's Vote to An Post. The Bill provides for a small technical amendment. Section 1 amends section 29A of the Postal and Telecommunications Services Act 1983, as amended, to increase the amount of funding the Minister can provide for the post office network from the current ceiling of €30 million, which has already been provided, to a new ceiling of €105 million, which is an increase of €75 million.The Bill will be commenced upon enactment. The Government has demonstrated its commitment to the network and to the value it provides to citizens with the allocation of this €15 million per annum for the term of the Government. However, I encourage all stakeholders to work together to ensure long-term sustainability for the network. All citizens should be encouraged to use their local post offices so we can continue to see them thrive.

I thank the Leas-Chathaoirleach for facilitating all Stages today so we can have the Bill passed before the summer recess, given the importance of this funding reaching An Post to be provided to post offices across the country.

Photo of Maria ByrneMaria Byrne (Fine Gael)
Link to this: Individually | In context | Oireachtas source

Go raibh maith agat, a Aire Stáit. I acknowledge the Minister of State, Deputy Feighan, and his guest, Tom Mullaney, from Sligo. They are very welcome. I hope they enjoy their visit to Leinster House today.

Alison Comyn (Fianna Fail)
Link to this: Individually | In context | Oireachtas source

I thank the Minister of State for attending and I wholeheartedly welcome this important Bill. I will take the opportunity to explain why this legislation really matters. On the face of it, it is a relatively straightforward Bill that provides the legal basis for funding already agreed by Government, allowing €15 million per year to be invested in our nationwide post office network between now and 2030. Behind that technical amendment is something much more significant. We all know post offices are way more than just a postage stamp or parcel. For many people, it is one of the few places they visit every week. It is where pensions are collected, bills are paid, passports are processed, banking is done and people can call in knowing they will be greeted by someone they know well and who knows them. In many communities in rural Ireland and, increasingly, in our towns as well, the post office remains one of the last truly local public services. We remember what a lifeline post offices and the postmen and postwomen coming to the houses during Covid were. They were vitally important.

Communications have changed beyond recognition over the past two decades. Letters have given way to emails, online banking has replaced many over-the-counter transactions and more and more public services have moved online, yet the need for trusted, accessible, face-to-face services has not disappeared. In fact, they have become even more important.

Ireland's network of around 930 post offices remains the largest retail network in the State, serving well over 1 million customers every week. That tells us something important. Despite all the technological change, people still value the reassurance, convenience and trust that comes with the local post office. That is why this investment is so important. The €75 million being provided over the next five years is not simply about maintaining buildings; it is an investment in connectivity, inclusion and community resilience. It recognises these services cannot and should not exist solely online. We often speak about digital transformation, and rightly so, but many older people – in fact, not only older people – are not as comfortable carrying out transactions online. They are much more comfortable face-to-face. That could be down to broadband connectivity, poor mobile coverage or simply lack of confidence. We all hear about scams every day of the week. Even I sometimes worry about doing business online. For those people, the post office is not just a convenience; it is an essential service.

As a spokesperson for communications, I believe this debate should be about the future, rather than simply preserving the past or what we have at the moment. Supporting the post office network should not be about standing still; it should mean giving the network every opportunity to evolve.

As the Minister of State mentioned, none of this would be possible without the hundreds of independent postmasters and postmistresses who operate their businesses across the country. They are much more than service providers. I have spoken to them all in our community. We all know them really well. They know their communities and their customers. They often recognise when somebody has not called in as expected. They have saved lives over the years. That human connection is something we should never underestimate. We must continue to engage with the Department and An Post to make sure these men and women know they are valued and looked after, especially in retirement, financial security-wise. As our population ages and concerns around loneliness and isolation continue to grow, places where people are recognised, welcomed and treated with dignity become increasingly valuable.

As a Louth-based Senator, I recognise the important regional dimension to the debate. The Government has rightly committed itself to balanced regional development. If we want people to continue living and working in rural Ireland and in small towns, then essential services must continue to exist in those communities.The post office network forms part of that essential infrastructure. Once it is lost, rebuilding it would be extraordinarily difficult. This Bill provides the legal mechanism to continue funding the network over the next five years. It sends a clear signal that the Government recognises the importance of maintaining a nationwide post office service, while supporting its continued development and adaptation. For those reasons, we support this Bill and hope that it has a swift passage through the Houses. It is investment not only in post offices themselves but in the people and the communities they continue to serve every single day.

Evanne Ní Chuilinn (Fine Gael)
Link to this: Individually | In context | Oireachtas source

I welcome the Minister of State to the Seanad for this very important legislation. It is a very short Bill but a very impactful one. The Postal and Telecommunications Services (Amendment) Bill 2026 amends the 1983 Act to provide a legal basis for increased State funding to support the nationwide post office network. We have spoken about this network quite a bit in the past 12 months in the Seanad. With the introduction of the extra funding, it authorises €75 million over a five-year period, which equates to €15 million annually. It will help An Post maintain its network, thereby ensuring it continues to meet the State's social and household service needs across Ireland.

I hope that this funding will help to prevent further closures. I was encouraged to see some of the detail in the Bill around the 125% increase in funding for offices located more than 15 km from the nearest post office. We have seen a couple of issues with post offices that have closed over the past couple of years. We had one close in Bluebell, in Dublin, a couple of years ago. The nearest one now is in Inchicore, which does not seem like a long way but for those who are older or perhaps not as mobile it is really important that those post offices that are serving extra communities get the extra funding.

It is important to point out as well that the longer-term direction of the network will require a combination of State support like this and commercial innovation from An Post and, of course, continued use by the public of the services being provided by the post offices.

I am encouraged as well to see transactions up by 10%, which does bode well for the viability of the network. It shows that there is a continued use of the services by the public. I fully support this Bill. As was said, it is very short legislation but very impactful. I echo what Senator Comyn said about getting this through as swiftly as possible before the summer recess.

Photo of Victor BoyhanVictor Boyhan (Independent)
Link to this: Individually | In context | Oireachtas source

I wish the Minister, Deputy O'Donovan, well and wish him a speedy recovery. I thank him for his input on this work. He has championed rural communities. He represents a constituency that has both urban and rural areas. The significance of the post offices is known to us all. Any of us who has contacts with post offices, be they urban or rural, knows the importance of them. They are an important point of contact. Most people who run post offices have been long established there. Many of them run them in combination with local enterprises or local businesses, be it shops, hardware or pubs. I can think of loads of rural post offices in Meath and Kildare alone that are run on the fringes with other successful businesses. What is most important is that they offer a confidential service. They offer a listening service and they are more than just a transactional service. They are there looking out for people. Members of communities like to go there and I have always been a strong advocate for the post office network, so I support anything that supports the post office network.

There is potential for innovation and synergies and co-operation. I am always struck as to why the local credit unions cannot operate out of the same building as local post offices or information hubs or community hubs. There are potential synergies that could be looked at in terms of keeping the core service and that connection within communities.

I wish the legislation well. It will have our whole support and I understand that we will be doing all Stages of the Bill today, so it will be put through today.

I wish the Minister of State well with the responsibility of the passage of this Bill today. It has my full support.

Photo of Chris AndrewsChris Andrews (Sinn Fein)
Link to this: Individually | In context | Oireachtas source

Sinn Féin welcomes this Bill and its proposals to support the post office network. This needs to be supported across the State in both rural and urban areas, which was why we proposed an investment of €15 million in funding for postal services in our alternative budget last year.Sinn Féin has long supported a new public service mandate for our post office services, backed by strategic investment in an expanded range of services and better conditions for postmasters, to ensure that the existence of post offices is safeguarded in the long term. Post offices are often the last remaining public service in many communities and play a proven and irreplaceable role in supporting social cohesion, offering critical services and access for older people, vulnerable citizens and marginalised communities. For this reason, it is vital that the Government commits to a structured multi-annual investment that would safeguard these services well into the future.

I raise the issue of Rathmines post office, which will close this Friday. This is a devastating blow for the local community and staff alike. The building is likely to be put on the market in the middle of next year but, as of now, there is no plan for this historical building to stay in public hands. It would be a huge loss to allow a building as magnificent as this to leave public ownership. An Post is planning on selling off this beautiful Art Deco building, which has been the home of Rathmines post office for almost 90 years and is an iconic feature in the local community. There is a real risk that the building will be sold off to a private developer and left to lie derelict for years on end, or otherwise be removed from public or community use. Rathmines post office is a vital part of the social infrastructure in the Rathmines community, which has already lost a number of important services over recent years. This building needs to be kept in public ownership for the use of the community. To sell it off without a plan would be an act of recklessness. There are some proposals from local community activists about what might go into the space. It should be a central community hub for Rathmines. It could be the heart of cultural or community activities, or both. We need to see ambitious forward-thinking action taken by the State to ensure this property remains in public and community use and the long-term good of Rathmines is not left to chance.

Photo of Charlie McConalogueCharlie McConalogue (Donegal, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

I thank the four Senators for their contributions and for their support for this important funding. As I said in my opening contribution, the Bill makes a very small tactical change to the legislation. Over the past three years, €10 million per year was provided to An Post. This legislation now provides that, in each of the next five years, this year included, €15 million will be provided to An Post. The structure of that payment, which was agreed between An Post and the postmasters, is designed to maintain and strengthen our post office network and to keep it sustainable, taking into account the number of post offices in an area, the distance to the next nearest post office and the rural nature versus the population base that it might be serving and weighting the payments from the Government in such a way as to ensure they strongly favour those post offices that need the support the most.

I thank Senators for those contributions. I take on board the comments of Senator Andrews. The post office will remain in Rathmines. It is changing location and will stay open in Rathmines village. I take on board the points the Senator made about the previous building. The service will be maintained and will stay in the area. The objective of the Government is to maintain as many post offices in the network as we possibly can. That is why we are increasing funding by 50% this year and we have a commitment to continue that for the duration of this Government. I look forward to seeing the Bill pass Second Stage and move through the other Stages in the House today.

Question put and agreed to.

Photo of Maria ByrneMaria Byrne (Fine Gael)
Link to this: Individually | In context | Oireachtas source

When is it proposed to take Committee Stage?

Photo of Maria ByrneMaria Byrne (Fine Gael)
Link to this: Individually | In context | Oireachtas source

Is that agreed? Agreed.