SWADLINCOTE - Town post office faces possibility of closure

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SWADLINCOTE will be left without a post office — at least temporarily — if business leaders decide to axe the town’s branch after a crunch meeting with staff.

The future of the Tamworth Co-operative Society-run service is in doubt due to ‘significant’ annual losses which have also been incurred by the firm’s clothes store, located in the same building on The Delph.

A temporary or permanent closure would force customers, many of them elderly, to travel to post offices in Newhall, Woodville or Moira.

Chief executive Julian Coles said: “As much as we regret doing anything that might possibly lead to the closure of any part of our business, the losses are significant in these extremely difficult trading times.

“If we were to close the franchise post office, we would do everything in our power to help identify a suitable alternative.

“We do understand the importance of post office facilities to the community.” Co-op bosses, who have been consulting staff since April, say the post office and clothes store are subsidised by more successful parts of the company.

The post office had been ‘especially challenging’ as the commission earned for transactions such as tax disc renewals had constantly diminished, he said.

Competition had also increased with developments such as online payment for some services previously only available from the post office.

But despite ‘exceptionally difficult trading circumstances’, the Co-op continued running the post office even after the franchise arrangement expired in October 2008.

“In May last year we wrote to the Post Office Ltd and indicated we were still willing to continue arrangements but would need to have some flexibility regarding any agreement because of the losses being incurred,” Mr Coles said.

“Unfortunately, we heard nothing back from them and the losses have continued to accumulate.”

A Post Office Ltd spokesman said the firm was ‘concerned’ the Co-op might pull out and was ‘investigating all the options’.

He said: “We would like to assure customers that whatever happens we are committed to retaining a post office service in Swadlincote and we are working hard to keep any possible break in service to a minimum.”

South Derbyshire District Council chief executive Frank McArdle said: “While it will be of concern to the people of Swadlincote in particular, we must take heart from the Post Office’s stated determination to maintain a branch presence.

“If the Co-op decides to press ahead, my officers will work closely with the Post Office and private concerns in the town to ensure as quickly as possible a transition to alternative premises within the town centre.”

The Co-op is due to make a final decision on the firms’ fate after meeting workers again next week.