The Post Office is set to close 115 branches after reporting financial losses, putting jobs at risk for hundreds in the UK.
The closures are expected to be discussed at an upcoming meeting led by Post Office chairman Nigel Railton, with postmasters and staff invited to learn about the changes.
The move affects 3,000 head office employees and staff at Crown Post Offices in city centres.
The Post Office is reportedly shifting to a franchise model but plans to keep the number of postmasters stable. There is no information yet on which branches will close.
The organisation previously stated it wouldn’t reduce its 8,500 branches, managed by independent postmasters and local businesses.
About 2,000 branches are run by retailers like WHSmith and Co-op, not by Post Office staff. The company denied claims that two-thirds of postmasters could lose their jobs.
Funds saved from the shift will go towards boosting postmasters’ pay and upgrading branch technology, including self-service tills.
A spokesperson said the company will introduce a “New Deal” to increase postmasters’ revenue share, strengthen the branch network, and improve services for communities and partners.
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Martin Quinn from Campaign for Cash criticised the closures, calling on the government to halt the program and protect the Post Office as essential infrastructure.
Despite ongoing challenges, the 364-year-old institution continues to operate about 11,500 branches, remains the UK’s largest retail network, and is fully state-owned.
Whitehall sources admitted the Post Office would struggle without its government subsidy.