In the last issue, Michael Outama was resisting modernising his Londis Langley Post Office. He was also unclear on the cost of conversion and how much he would have to contribute.
The Post Office, disappointed in my coverage, has looked into Michael’s situation and sent a very clear response. Here it is in entirety.
“We need to ensure Post Office branches in our network are commercially sustainable into the future, and the best way is for a Post Office to be part of a thriving retail business. We hope that as many postmasters as possible will convert to a new model and we have been working with Mr Outama for some months, explaining every step in the process.
“Post Office will provide investment to create the new main model up to a maximum of £45,000. The specific level of investment varies, and depends on the work required to convert a branch to the new format and the number of counter positions at the converted branch.
“In the case of Langley Post Office, we would pay for all new Post Office equipment and services, and offered an additional £14,200 towards Mr Outama’s quote of £14,898 for refurbishment works, meaning Mr Outama’s contribution would only be £698.
“If he does proceed, he will receive a conversion payment of £10,000 and for three years afterwards we ensure his Post Office fee income does not fall below the amount he would have received on his existing contract.
“If a postmaster has a branch that is suitable to convert to a new model but chooses to ‘stay as they are’ they can do so, but from 1 April 2016 the fixed remuneration they receive will be replaced by transitional payments. These will be paid in instalments over 18 months before being withdrawn.”