Cecilia Keaveney (Donegal North East, Fianna Fail)
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Question 368: To ask the Minister for Social and Family Affairs his views on requests, details supplied, made by the Irish Postmasters Union; and if he will make a statement on the matter. [23526/05]

Séamus Brennan (Dublin South, Fianna Fail)
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The range and type of services which An Post provides to its customers is, in the first instance, a commercial matter for the company. I have met with the Irish Postmasters Union and An Post regarding the further delivery of welfare entitlements. I have no role or function in this regard. I am aware that An Post is mindful of the need to move to a more modern payment system. As a result, I have been assured that An Post will respond to developments and product innovation in the money transmission market so that it can maintain its position as a leading player in this area of commercial activity.

The Government is committed to maintaining a viable network of post offices throughout the country and the issues involved are under consideration by my colleague, the Minister for Communications, Marine and Natural Resources, who is the Minister responsible for An Post. I have already met with him on this matter and I will continue to liaise with him as appropriate. My Department's policy is to ensure that a range of payment options is available to customers and that service is continually improved by providing access to the wide range of payment options and new services and facilities now available. Some 58% of customers currently receive payment through their local post office, 10% are paid by cheque through the postal system and 32% receive direct electronic payment to their accounts with financial institutions.

The growth in the number of customers opting for the direct payment option can be attributed to a number of reasons, such as the growing use of electronic payments in business and society generally, the increase in the use of electronic banking and debit-credit cards by people and the changing profile of our customer base across all schemes. As I have stated in the past, it is my responsibility to ensure that welfare customers are given choices as regards the payment methods for their entitlements. My priority is to ensure that the most modern, the most flexible and widest range of options are available to our welfare customers.

An Post and my Department have been partners in the delivery of social welfare payments since the foundation of the State. There is a very good working relationship between my Department and the company and I am sure that An Post will continue to have an important role in the delivery of social welfare payments in the future.