Mattie McGrath (Tipperary South, Independent)
Link to this: Individually | In context

565. To ask the Minister for Communications, Climate Action and Environment to support investment into rural post offices as essential community supports, per the IPU’s recommendation of €15 million per annum for five years as essential in order to keep rural post offices open; and if he will make a statement on the matter. [62032/25]

Charlie McConalogue (Donegal, Fianna Fail)
Link to this: Individually | In context

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 that 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. My Department 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.

My Department is engaging with relevant stakeholders in relation to the funding, including in relation to the securing of an new mandate from Government to continue funding at the enhanced level while ensuring an adequate legal basis and compliance with State Aid rules. In due course, I will seek Government approval for a renewed mandate for the funding and to progress legislation to effect the funding to provide certainty to the network post 2025.

An amount of €10 million per annum is currently being provided over a three-year fixed term (2023-2025) to An Post. An Post then disperses 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 a relevant, commercially viable network delivering more services to citizens and small businesses.

It should be noted that An Post is a commercial State body with a mandate to act commercially. An Post has statutory responsibility for the State's postal service and the post office network. Decisions relating to the network, including decisions relating to specific post offices are operational matters for the Board and management of the company and not one in which I, as Minister, have any function. Similarly, 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.