Banking remuneration increases to start today

Banking remuneration increases to start today

We wanted to let you know that an increase in rates for cash deposits is to be brought forward to today as part of our ongoing review of postmaster remuneration. We are also increasing the remuneration that benefits our Community branches. 

The review, which was launched earlier this year, is aimed at ensuring remuneration better reflects the work you do on behalf of the Post Office and your customers. 

We recognise how important this is if we are going to continue to be a valuable part of your business and we are committed to a thorough assessment of the position, involving postmasters, our commercial partners and the NFSP. We are also ensuring that we take a balanced view by reviewing rates across a range of different Post Office types. 

The outputs from this review will be tested and refined further before rolling out in April 2020, but we wanted to give you an update now and announce these immediate changes. 

Following feedback from many postmasters on our recent announcement of increased rates for cash deposits, we have decided to bring forward the start date to today – 1 August – instead of 1 October. This means you will see the increases in your September remuneration onwards. 

Cash deposits are the fastest growing banking transaction, and this increase recognises the great service branches provide and the time these transactions can take, particularly manual ones. We’ve worked hard to agree new rates with the banks to better reflect this. We are sure you will welcome this news. 

Community status branches
We have also decided to increase the remuneration that benefits our Community branches and others on fixed remuneration. These branches, often the last shop in a village where Post Office services are incredibly important, don’t see the volume of transactions on the same scale as most branches and as result they don’t benefit as much from increases to rates such as banking. 

Full details will be sent directly to those postmasters affected by this change. 

Remuneration review continues
We hope you welcome these changes as a sign of our commitment to you and your business. If you have ideas that you would like us to consider as part of the review please let your area manager or your NFSP representative know and they will feed them into us, or you can email us on PostmastersQuestions@postoffice.co.uk

We look forward to updating you on this work again in the autumn.