Post Office to be significant player in mortgage market
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The business secretary Lord Mandelson has opened a public consultation on new financial products and services that could be offered by the Post Office.
The consultation outlines a number of financial services that the Post Office could offer, including Post Office current accounts and mortgages.
The government says it is keen for the Post Office to be a more significant player in the mortgage market.
Mandelson says: “I would like to see the Post Office at the forefront of the provision of good value mortgages across the UK. The Post Office has rapidly grown sales of its award-winning mortgages and is today announcing improved rates across its mortgages range.
“Our consultation outlines exciting proposals, but I want people to have their say. This is an opportunity for local communities to tell us what they want and need from their Post Office.”
The consultation is the next step towards turning the Post Office into a leading player in financial services, offering banking products across its network of over 11,500 branches.
The consultation reinforces the government’s commitment to a secure and sustainable future for the Post Office, following the decision in November 2008 to award it a new contract for the Post Office Card Account, and the investment of up to £1.7bn to 2011.
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Readers' comments (9)
Dan McGeehan | 2 Dec 2009 11:10 am
Exactly how are customers going to get good advice on mortgages by going into a post office. Customers will get good value mortgages by having choice and historically this has always been through a broker.
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Anonymous | 2 Dec 2009 11:45 am
are post office mortgages provided by bank of ireland???
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Mark Finnegan | 2 Dec 2009 12:58 pm
Yes, they are through BOI (well, B&W)...
BOI started Post Office mortgages around the same time they pulled broker mortgages.
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John | 2 Dec 2009 1:15 pm
Good old 'Mandy' rushing to the help of the consumer! When do we finally get rid of this shower of idiots that call themselves a government?
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Paul Everett | 2 Dec 2009 1:45 pm
WHAT THE HELL IS GOING ON !!!!!!!!!!!!
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peter sowerby | 2 Dec 2009 3:44 pm
how does the famous line go."...will the last mortgage broker to leave the country please turn off the lights"
This government and FSA are both "lights on but no one's home"
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Tom Cleary | 2 Dec 2009 4:00 pm
It was not that long ago that the Government announced that they wanted to shut down hundreds of Post Offices. They should make their mind up...
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Glenn Peniston | 3 Dec 2009 0:23 am
The general election cant come soon enough get these idiots out before they do anymore damage to our industry.
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Anonymous | 3 Dec 2009 4:05 pm
The british public love and trust the post office. With the reputation of the mortgage industry at an all time low this is an excellent move by mandy in the run up to the election.
It was this same government that reduced the network of post offices from 25000 to around 10,000 now.
Where would people living in rural areas get their mortgage from?
Probably from a caravan or a coffin box with a post office logo on it.
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