Government response: Future of the Post Office

[TrueBlueTerrier]

https://www.gov.uk/government/consultat ... ost-office


Ministerial foreword
This response reflects the voices of thousands of individuals, postmasters and stakeholders who contributed their views during the once-in-a-generation Post Office Green Paper consultation. Your feedback has shaped our vision for a modern, sustainable Post Office that continues to serve communities across the UK.

From the responses, it is clear that the Post Office means different things to different people. For some, it is a cornerstone of community life; for others, it is simply the most convenient place to collect a parcel. This diversity of purpose is not a contradiction but the model working as intended. The Post Office is neither a purely commercial organisation nor solely a social enterprise. Its strength lies in successfully balancing both roles by delivering essential services to communities while continuing to adapt to consumer trends to ensure it is not left behind.

Our ambition is clear: to protect the Post Office’s social purpose and set it up for success in the years ahead, ensuring a thriving network of post offices making everyday life easier for communities across the UK. That means maintaining a strong network of at least 11,500 branches, introducing a new requirement that half of the network consists of full-time and full-service branches and providing up to £180 million in subsidy over the next 3 years to safeguard access to essential services. Alongside this, we are investing up to £483 million over the next 2 years aimed at modernising the look and feel of branches; rolling out new technology across the network; enabling the Post Office to launch a new customer-facing app; and delivering a Technology Transformation Programme that will transition operation of Horizon away from Fujitsu and ultimately replace the Horizon system altogether.

We recognise the Horizon Scandal remains critical context for this work. While decisions on governance and ownership will not be made until the Inquiry concludes, we are committed to rebuilding trust and ensuring lessons are learned. Post Office leadership is taking steps to improve its culture and engagement with postmasters, and government will continue to work closely with stakeholders to deliver meaningful change.

Thank you to everyone who engaged with this consultation. Together, we can secure a future for the Post Office that is fit for the modern age and continues to deliver for citizens and businesses across the UK.

Blair McDougall MP

Minister for Small Business and Economic Transformation

Executive summary
The Department for Business and Trade (DBT) conducted a public consultation between July and October 2025 on the future of the Post Office. The consultation received 2,527 responses. Further citizen engagement, in the form of in-depth discussion groups, was carried out with postmasters and members of the public.

This response sets out a summary of responses across all the chapters in the Green Paper. A government response is included for all chapters, with our final position set out for ‘Government’s vision for the Post Office’ and ‘Government’s network requirements’. Further work and areas to explore are set out in ‘A Post Office fit for the modern age’ and ‘Reforming the governance and long-term ownership arrangements for the Post Office’. Given their relevance to the Horizon IT Inquiry, no decisions on changes to governance and ownership arrangements will be made until after the final report of the Inquiry. Further details on these issues will be provided in due course.

Government’s vision for the Post Office
The government will implement 5 key objectives for the Post Office for the next 5 to 10 years and beyond. We recognise that there is some inherent tension in these objectives. However, this reflects the balance that the Post Office will need to achieve to continue to serve communities across the UK, adapting to changing consumer behaviour whilst also reducing reliance on government funding through identifying opportunities to increase revenue and reduce costs.

1. For the Post Office network to provide postal and other critical services – currently including cash and banking, government and utility bill payment – to those who cannot or will not get them elsewhere

The Post Office should maintain the geographical Access Criteria to ensure essential services remain accessible to all, including vulnerable groups. The government will retain the 11,500 minimum branch requirement.

2. For the Post Office to maintain a network made up mostly of full-time and full-service branches, offering a reliably good level of customer service and a wide range of services alongside a retail offering, as these branches provide the most benefit to communities

The Post Office should ensure at least 50% of the network comprises full-time and full-service branches, with all branches offering a reliable service.

3. For the Post Office network to support high streets as visible economic stimulants and hubs for local activity

The Post Office will be positioned as a visible economic stimulant. As a first step, the Post Office will trial the ‘Hub of the High Street’ model in 2026.

4. For the Post Office to be an organisation with a positive culture, that is run in an accountable and transparent way, and delivers benefits for and represents the interests of postmasters, partners, their customers, employees and communities

The Post Office will develop a joined-up plan for a positive culture by summer 2026. Government expects to see positive progress against the plan in future years.

5. For the Post Office to become an organisation that adapts to changing markets and is financially sustainable, with lower reliance on government funding for investment costs

Backed by over £500 million of investment funding this Parliament, the Post Office will modernise operations and reduce reliance on government funding by 2030.

DBT has written to the Post Office Chair alongside this publication to confirm that the objectives come into effect immediately. Government expects the Post Office to embed these objectives within the organisation and into all Post Office strategies.

This is the summary only to read the full consultation click on link above