Loss-making Isle of Man sub-post offices given seven-month reprieve

Unprofitable sub-post offices on the Isle of Man have been given a seven-month reprieve from closure, after Tynwald backed the move.

It means all branches currently open must be kept open by Isle of Man Post Office until July.

Juan Watterson SHK said benefit collection and banking facilities offered by the branches should continue.

The loss-making branches had been at risk of closure.

A five-year plan to rebalance the organisation's finances includes plans to replace some branches with kiosks and secure parcel-drop facilities.

Post office chairwoman Julie Edge argued the organisation was "not a bank" and sub post-offices were "private businesses", which could choose whether or not to stay open.

The organisation posted an overall loss of £504,000 in the 2019-20 financial year, which is largely attributed to a £1.25m loss by the sub-post office network.

The post office will now be required to run any branches at risk of closure until parliament has considered a report by the chief minister's community committee.

The committee, which was set up to look into social inclusion and the provision of services within the island's towns and villages, is due to report to the council of ministers in the spring before being debated by Tynwald in July.

As well as sustaining sub-post office branches, Mr Watterson had called on the government to ensure banking facilities could be provided "in local communities outside of Douglas", following a decline in the number of regional bank branches.

Moving an amendment, Policy and Reform Minister Ray Harmer said banks were "private companies" that "will do what they will do".

He proposed that "available banking and cash facilities" be included in the community committee's remit.

That was backed by politicians and a moratorium on sub-post office branch closures was put in place.

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