Fewer letters posted to blame for £500k Post Office loss

Organisation reports deficit for third consecutive year

The Post Office lost half a million pounds in the last financial year.

It's after the amount of letters posted fell by 8 per cent down to 17.4 million items this year, compared to 19.3 million in 2019.

Though parcel deliveries increased, it wasn't enough to compensate for the drop.

Loss-making sub post offices in the retail network cost the board £1.25 million, though some have closed or are being downscaled.

It's part of the retail modernisation strategy approved by Tynwald this year, which is hoped to see the organisation return a profit by 2023/2024.

This year's loss could have been greater had the Treasury not chosen to forgo the £500,000 levy on post office coffers.

It's the third year in a row the organisation has reported a deficit, though the figure has reduced since 2019, when it was £662k.