Council leaders have welcomed a government lifeline in their battle to save local post offices from the threat of closure. Business secretary, John Hutton, has told Post Office Limited to negotiate directly with local authorities which are campaigning to protect some of the 2,500 branches that have been earmarked for closure. Essex CC leader, Lord Hanningfield, has been at the forefront of moves to explore a new business model for post offices which might include a mixture of council and pharmaceutical services, which has attracted widespread interest. However, until now, the Post Office has shown a marked reluctance to get drawn into negotiations, despite the fact that the anti-closure campaign has prompted a major rebellion among Labour MPs and won nationwide support from local authorities across the UK. The Local Government Association has been pressing for a review of the closure plans for more than 18 months, and chairman, Sir Simon Milton, said: ‘For many people, the post office is the lifeblood of the high street, and the role post offices play in helping people who conduct their financial affairs in cash is vital. ‘Councils have long battled against the closure of post offices, working with local residents to find new, fresh and innovative ways to make sure post office counter services are not lost to people who live in rural or disadvantaged areas.'
