Brian O'Shea (Waterford, Labour)
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Question 102: To ask the Minister for Communications, Marine and Natural Resources if he will clarify his recent remarks at the IPU annual conference that the convenience of electronic funds transfers for social welfare payments is more attractive to claimants; his views on whether this service should be available in post offices; his further views on whether the absence of this service in post offices threatens their viability; and if he will make a statement on the matter. [19898/05]

Noel Dempsey (Meath, Fianna Fail)
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During my recent address to the Irish Postmaster's Union annual conference, I outlined that in an age where we as a Government are committed to delivering quality customer services, people must be allowed to choose their preferred method of payment. I pointed out that over 65% of new social welfare recipients opted for alternatives to the post office because of the convenience of electronic funds transfer.

It is now clear that electronic funds transfer, or EFT, functionality is going to play a greater role in service delivery to social welfare clients. It is important, at the same time, that the post office retains its position as a delivery point for welfare payments. With an eye to the future, An Post has started working on a new business model for the post office network, which will involve a substantial upgrade of IT systems in order to offer EFT functionality to social welfare recipients and a wider suite of financial and other services to new and existing customers. Pending progress on the system upgrades, I have agreed with the Minister for Social and Family Affairs that, for the moment, all payment options will receive equal standing on social welfare forms and that the Department of Social and Family Affairs will not actively push EFT for social welfare clients.