Royal Mail Plans fail to Protect Northampton Post Offices says Lib Dem

1.00.00pm GMT Thu 12th Mar 2009

Lib Dem Parliamentary Candidate for Northampton North has criticised the Government's plans for a partial privatisation of Royal Mail as failing to protect the Post Office network and being off track.

"Peter Mandelson's proposals do not secure the future of the Post Office network and also fail to give Royal Mail any real freedom in being able to invest in the future of the postal service" said Andrew Simpson

"The Lib Dem proposals for Royal Mail are more workable and would guarantee the survival of our Post Office network as well as provide Royal Mail and its employees with a better future".

Three years ago the Liberal Democrats, recognising Royal Mail's problems, developed a comprehensive policy to secure the future of both organisations by:

• Separating the Post Office network from Royal Mail as an independent publicly owned organisation, with its own board of directors, an investment plan for the future, and significant investment to undertake those plans.

• Giving post offices the opportunity to develop new business through the "postbank" concept and a prime role in delivering to citizens on behalf of government.

• Making the Universal Service Obligation a legal requirement for 6 days a week.

• Placing Royal Mail into shared ownership, with a majority of shares divided equally between the Government and a Trust for Royal Mail staff, and a minority of shares available for sale (with all revenue going into the post office investment fund).

• Giving the regulator the power to place a levy on other operators who do not undertake the USO to pay towards its cost.

"It is ironic that the Labour MP is also against her Government's plans for Royal Mail but has supported previous proposals that has led to Post Offices closing here in Northampton" continued Andrew. "Perhaps she now believes backing the Government 100% no longer guarantees she wins at the next election?".