A large proportion of the last Government’s funding of the postal system was spent on closing post offices. Last year the Liberal Democrats in Government promised investment in the Post Office averaging out at over £330m a year – more than double the subsidy paid to the Post Office for the past two years.
At this years Conference Ed Davey MP announced that Post Office closure plans were ended. £1.34bn was to be made available to support and modernise the service. Royal Mail employees will benefit from largest employee share scheme of any privatisation in part to compensate the deficit in their pension funds. The new Post Office will be on a co-operative model allowing employees and the public to invest in their Post Office so it continues to deliver vital services effectively.