The Government is wrong to scrap the Pension Book

10.32.00pm UTC (GMT +0000) Fri 2nd Jan 2004

"The Government's plan to scrap the pension book will result in a massive loss of revenue for the Post Office network. They are writing to all pensioners and benefit claimants who pick up their money at the Post Office and telling them to choose one of three 'direct payment' options.

Councillor Linda Seekings - fighting for Crawley's Pensioners

It is estimated from the House of Commons library that 47% of pension book users are opting, when asked, to have money paid into bank and building society accounts rather Post Office card accounts."

"Many pensioners have reported being talked into signing up for new bank accounts and internal Government documents reveal that staff are under pressure to push to customers into taking this 'cheap' option."

Linda Seekings, one of Northgate's Lib Dem Councillors said that "Hundreds of Pensioners in Crawley chose to have a pension book. The Government is now telling them to think again. Heavy handed tactics will create a mass exodus of pensioners out of the Post Office and into the high street banks.

"The plans will rob the Post Office network of vital revenue and customers, and will accelerate the rate of closures. Many of the pensioners who want to stick with the post office are going to be met with a permanent 'closed' sign."

"The Government's plans are driven by cost-cutting and not what is best for pensioners. Many, particularly older pensioners are comfortable with what they know. They have no desire to change. Furthermore for many pensioners the local Post Office is a lifeline. It is not too late for the Government to think again and allow pensioners to hang onto their pension books."