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Retail & Consumer

Post Office to close 115 branches in major overhaul putting hundreds of jobs at risk

The Post Office has announced that it will close 115 branches, putting hundreds of jobs at risk in a bid to boost the income of º£½ÇÊÓÆµ postmasters by up to £250m annually by 2030

Post Office jobs and branches to be axed in in post-scandal shake up(Image: Getty Images)

The Post Office has unveiled plans for a significant revamp that includes the shuttering of 115 branches, posing a risk to hundreds of jobs.

Unveiled earlier today, the transformation strategy is set to increase the income of º£½ÇÊÓÆµ postmasters by as much as £250m per year by 2030, as reported by .

Under scrutiny are the Post Office's 115 Crown branches, situated in high-footfall areas and operated directly by employees rather than franchisees. These branches collectively employ over 1,000 staff members.

In recent years, the Post Office has been transitioning towards a franchise model with large companies such as Tesco and WH Smith taking the helm at around 2,000 locations, while approximately 9,000 branches remain under the management of independent operators.

According to The Guardian, potential cuts at the company's head office might lead to an additional 1,000 job losses. Meanwhile, the Post Office anticipates that it will franchise out all 115 branches within the next five years.

Nigel Railton, who took on the role of chair in January this year following the dismissal of former chair Henry Staunton, has been at the forefront of the proposed closures.

He commented on the need for renewal, saying: "The Post Office has a 360-year history of public service and today we want to secure that service for the future by learning from past mistakes and moving forward for the benefit of all postmasters."

The Post Office has unveiled a transformation plan aimed at augmenting postmasters' earnings, forecasting a £120 million rise in their revenue share in the initial year, translating to a significant 30 per cent boost.