Union backs call for ‘universal’ Post Office banking

The Communications Workers Union (CWU), which is currently balloting its members on strike action over restructuring proposals at the Royal Mail, has joined with the Post Office today to condemn three High Street banks for not allowing customers to withdraw cash from post office counters.

Earlier this week Post Office Chief Executive David Mills launched an attack on HSBC, HBOS and RBS-NatWest for their refusal to allow current account customers to use post office branches.

By 2005 all benefit payments will be made into a bank account of some sort and the CWU said it was vital that all banks allow their customers to use the Post Office for cash.

CWU Assistant Secretary Andy Furey said: “From the union’s perspective, obviously we are keen to encourage as many people as possible to come to the Post Office so we can safeguard jobs and services.

“But it is not just our members who will benefit from the provision of universal banking services at the Post Office. The customers of these banks will have access to a national network of 17,000 branches.”

According to the CWU, Barclays, Lloyds TSB and the Co-op banks have all agreed to let their current account holders withdraw cash at post offices. Mr Mills called on the public to put pressure on the other banks to sign up.

“Millions of people need easy access to their benefits – particularly the disabled, elderly and vulnerable. Unless HSBC, HBOS and RBS-NatWest let their customers use the Post Office for cash, the concept of a Universal Bank is a myth. I would encourage our members to write to these organisations and make this clear to them,” said Mr Furey.

Mr Mills, who joined the Post Office from the HSBC last year, highlighted that 9 million people receiving disability benefits could not be expected to walk to their nearest bank branch.

“They need and want to use the nearest Post Office. These three banks are denying their disabled customers easy access to their money,” he said.

The banks reacted variously to the current account row, but all maintained that current accounts were not part of their arrangements with the Post Office. Customers could in any case withdraw money from cash machines or use existing home or internet banking facilities.

The HBOS is understood to be examining possible banking arrangements via the Post Office.

(SP)