Cork TD backs call for €15m annual funding package to secure future of postal services

A Cork TD has backed an urgent call from postmasters to the Government for what he described as a “paltry” investment of €15m per year, over five years, into Ireland’s post office network.

The call comes following the publication of a new report by the Irish Postmasters’ Union (IPU), entitled ‘Securing the Future: Sustaining Ireland’s Post Office Network through Strategic Investment’ and produced by Grant Thornton, which places a figure of between €344m and €776m on the annual social and economic value of the network.

The Government funding, which would be used to secure the future of postal services, would ensure the continued sustainability of a network that provides critical economic, social, and community supports across Ireland.

The current Government funding arrangement, which sees €10m invested annually, amounting to approximately €11,000 per office, is due to expire at the end of 2025, leading postmasters across the country to call for immediate clarity on the future of the funding agreement.

Since 2020, the post office network has absorbed a cost-of-living crisis marked by 15% inflation, 30% increases in the minimum wage, and a sharp decline in transaction-based income.

Despite this, post offices remain ineligible for many business supports, which would be accessible to comparable local enterprises, and are unable to increase their prices due to contract requirements with An Post.

Sinn Féin Cork East TD Pat Buckley, who was at the launch of the report, said the proposed investment is “vital” for the continuation of the Irish postal network.

Paltry

He said that “€15m is an absolute paltry amount of money for the services the post offices do”.

“When you go to a bank machine, it won’t help a pensioner or tell them how to fill out a form,” he said.

“When they [post offices] go, it sucks the heartbeat out of the community — it’s a vital service.

“I would definitely urge the Government to listen to the postmasters and to invest that tiny amount of money.

“You couldn’t put a price on the work they do and what it means to a local community.

“To lose this service would be the death knell for the country, especially for rural Ireland.

“Once they’re gone, they’re gone, and they won’t come back.”

The importance of the service to the public was clearly underscored in the results of a 2024 RedC survey, which revealed strong public support for continued Government funding for Ireland’s post office network.

The survey showed that 91% of respondents agreed post offices remained crucial in the current digital climate, with 89% believing it is important that the Government continues to invest in keeping post offices open.

Essential

The survey further showed that 80% of those polled considered post offices to be an essential part of the community, with 78% agreeing that their local post office provides them with valuable services they can’t easily find elsewhere, while 71% said they would be negatively impacted if their post office closed.

Seán Martin, president of the IPU, said that the proposed long-term commitment would enable those working within the Irish postal service to continue providing essential supports.

“The Government can secure the future of Ireland’s post office network with a strategic investment of less than €3 per citizen per year — less than the price of a cup of coffee,” said Mr Martin.

“We’re asking for a clear, long-term commitment, not just short-term support.

“This investment will not only protect essential community services but will also enable postmasters to take on additional roles, such as increased banking services, public identity verification, support for Government energy-efficiency schemes, and processing of public forms like passport applications and voter registration, helping relieve pressure on frontline public services.”

IPU general secretary Sandra Tormey further highlighted how the service is “significantly” underfunded in comparison to postal networks in other countries.

“Investing strategically in post offices now will protect communities, stimulate local economies, and safeguard essential public services, ensuring no community is left behind,” said Ms Tormey.

“Our network is significantly underfunded compared to other European countries despite its vital role as a community anchor, especially in rural and underserved areas.”