Tesco could save 100 Post Office branches from closing in potential takeover deal
Mirror February 07, 2025 12:39 AM

is reportedly in the running to save nearly 100 branches as the state-owned organisation explores moving them to a franchise model.

According to a report from, Post Office chairman Nigel Railton told MPs that the chain was interested in acquiring the directly managed offices. One unnamed MP who attended the meetings claimed that Nigel Railton had indicated the supermarket was among a small number of suitors that could snap up the sites.

Last autumn, Railton launched a wider strategic review of the organisation as the future of the Post Office was called into question. Railton took over as chair of the company following the departure of the former boss, Henry Staunton, who was sacked by former Tory Business Secretary .

The meeting between more than 20 MPs and Railton was set up to discuss the fate of the directly managed sites, which comprise a very small part of the wider Post Office network. Approximately 99% of Post Office branches are now operated by franchisees, with only 1% of sites being directly managed. The 108 branches employ around 1,000 people. However, trade union officials have reportedly voiced concern over the Post Office’s proposals.

READ MORE:

READ MORE:

In November, the Post Office said that it did not plan to reduce its approximately 8,500 branches, of which independent postmasters and local businesses operate. Additionally, there are 2,000 Post Offices managed by retailers, such as WHSmith and the , which will remain unaffected.

A spokesperson for the Post Office told the news publication: “We are fully committed to engaging openly and transparently with MPs regarding any potential plans related to our directly managed branch (DMB) network. Since inviting expressions of interest for 108 Post Offices that we currently operate, we have received interest from retail partners and independent postmasters in the hundreds. We remain committed to engaging with our trade unions over the potential future ownership of our directly managed branches, which are loss-making for us, into March before updating our colleagues who work in these branches on any potential next steps.”

declined to comment when approached by Sky News.

READ MORE:

© Copyright @2025 LIDEA. All Rights Reserved.