The Department of Work and Pensions’ (DWP) decision to remove a £20million-a-year contract from the Post Office to award the benefits cheque service or ‘Green Giro’ and instead sign up with PayPoint has been attached by Unite.

The UK’s largest union has expressed concern and ‘deep disappointment’ at the decision, which it says will have an adverse effect on post offices, and will contribute to the closure of more post offices.

The government should instead be ensuring that the Post Office continues to provide a range of services, and they should be increased to ensure their ongoing viability.

“This is another example of a disjointed government playing fast and loose with the network of post offices across the country,” commented Paul Reuter, Unite national officer.

“The removal of the ‘Green Giro’ – itself a lifeline to those 350,000 people that have a desperate need for it – from the Post Office is another death knell for the sustainability of post offices. This decision will particularly hit those in communities where post offices are a fundamental part of society.”

Unite is calling on the government to review its decision and be more consistent and co-ordinated in its approach to the Post Office and the services it wants to provide. “This announcement will have an extremely negative overall impact on the future of the network,” Reuter said.

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