The Post Office has said it plans to offload its last remaining directly-owned branches, putting around 1,000 workers at risk.
It confirmed that 108 crown branches, which are currently directly owned and run by the company, will be handed over to franchisees by the autumn.
The process could see the sites taken over by large franchising businesses or postmasters themselves.
It is understood the Post Office expects the majority of these branches to continue running at their current sites, but that some of these could face closure as franchises are moved to different premises, affecting staff.
The Post Office stressed that communities affected “will continue to be able to access Post Office services either at, or near to, the same location”.
The move is part of efforts by the Post Office to generate cash to help it increase pay for postmasters.
It comes after the organisation, which has undergone a significant overhaul since the impact of the Horizon IT scandal when hundreds of subpostmasters were wrongfully convicted, announced a review of the branches late last year.
Around 1,000 workers are employed across the branches.
The Post Office said the plan, which is subject to Government funding, will help it to increase postmaster remuneration by an extra £250 million a year by 2030.
Post Office chairman Nigel Railton said: “Moving to a fully franchised network is one part of enabling the Post Office to deliver a New Deal for Postmasters, helping to create a long-term, sustainable future for the Post Office.
“By franchising these branches, we are protecting access to our services for communities right across the UK and realising £40 million worth of savings that will enable us to uplift postmasters’ remuneration by up to 10%.”
CWU STATEMENT ON CROWN POST OFFICE CLOSURES
— CWU (@CWUnews) April 8, 2025
Responding to announcement of the franchising of the remaining 108 Crown Post Offices today, CWU General Secretary Dave Ward said “The Horizon Scandal and the damage it did to thousands of individuals and the reputation of the Post…
The Post Office said the plan was launched by its board following consultation with unions and reviewing options with its postmaster consultative council.
The organisation stressed it is committed to meeting the current requirement to have a minimum of 11,500 branches across the UK.
Dave Ward, general secretary of the CWU (Communication Workers Union), said: “The Post Office’s claim that these community services will be maintained by their failed franchising model is laughable to anyone who has seen their local Post Office services reduced to the back of a shop.
“The sell-off of WH Smith last week shows just how fragile and ill thought-out this model is.
“This is the full privatisation of the Post Office via the back door.”
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