Humiliating Post Office U-turn claim

MORT BIRCH

DAN Byles, Conservative candidate for Bedworth and North Warwickshire, has described the government's decision to award the Post Office Card Account to the Post Office as "a humiliating U-turn."

The card account contract had been put out to tender and there were fears that thousands more post offices would have closed, if the Post Office lost it.

But James Purnell, Secretary of State for Work and Pensions, has announced that the tender process has been cancelled and the contract is to stay with the Post Office.

Dan Byles said: "This decision is long overdue and makes a mockery of repeated claims by ministers that the government did not have the power to simply award the contract to the Post Office."

"The government has dithered and dragged its feet over this, blaming everything from competition law to the European Union, when, in truth, all it took was a bit of bottle and the ability to stand up and make the right decision."

He added: "Throughout this process, a cloud of uncertainty has been hanging over our remaining post offices and we now know that this cloud was entirely unnecessary.

"I welcome this decision, but I am under no illusion as to what it represents. This is disarray dressed up as a decision, and a victory for post office campaigners."

The Post Office Card Account is a basic bank account that can only be used to receive benefit payments, state pensions and tax credit payments.

It is intended to provide a benefit payment mechanism for people who could not, or would not, use any other kind of bank account.

The system was introduced to replace the old system of giros, pension books and instead of direct payment of benefits into bank accounts. No other payments, including wages can be paid into it.

Nine post office branches throughout Nuneaton, Bedworth and North Warwickshire. have already been closed and there were fears that thousands more throughout the country would go if the Post Office lost the card account.

Branches in Nuneaton and Bedworth that have gone are the ones in Nuneaton Road, Collycroft, Newtown Road, Bedworth, Manor Court Road, Nuneaton, and Bramcote Barracks.

The ones in North Warwickshire that have been axed are at Ridge Lane, Old Arley, Ratcliffe Road Service Station, Atherstone, Lea Marston and Piccadilly Post Office.