FSB News release
PR/ 2008/ 77
Post Office Card Account announcement good news for small business
The Federation of Small Businesses (FSB) has today welcomed the Government’s decision to award the Post Office Card Account (POCA) contract to Post Office Limited which will save thousands of small businesses.
An FSB poll showed that over 80 per cent of small businesses would have to take drastic action if they were left without the Post Office service - a key element and lobbying issue of the FSB Keep Trade Local Campaign.
The announcement, which sees the contract being renewed in April 2010 for five years, will help save a further 3,000 Post Offices from closure. It is therefore good news for small businesses and subpostmasters.
Some subpostmasters earn 20 per cent of their income from the POCA account and they play a crucial role in the local community offering essential services and generating footfall for surrounding shops and services.
Clive Davenport, FSB Trade and Industry Chairman, said:
“This is welcome news and underlines the FSB’s central campaign to Keep Trade Local. Many convenience stores in towns and villages operate alongside a Post Office. Around £27 billion is paid out each year to POCA customers and of that, £2 billion is spent in these businesses.
“The Post Office has an unrivalled geographical spread, particularly in rural areas, and awarding the contract to the Post Office will help save thousands of Post Offices, businesses and jobs.”
Notes to Editors
1. The FSB is Britain's biggest business organisation with over 213,000 members. It exists to protect and promote the interests of the self-employed, and all those who run their own business. More information is available at www.fsb.org.uk.
2. The FSB has been campaigning closely with the National Federation of SubPostmasters and both share the belief that Post Offices play a crucial role in the local community.
3. The Post Office Card Account contract with the Post Office ends in 2010. The tendering process opened in the beginning of the year and ended in March 2008. The result was expected during the summer.
Stephen Alambritis: 020 7592 8112 / 07788 422155
Sophie Kummer: 020 7592 8128 / 07917628998
Prue Watson 020 7592 8121 / 07825 125695
Marc Shoffman 020 7592 8113 / 07595 067068
For regional FSB contacts please go to www.fsb.org.uk/regions.