Dunfermline and West Fife MP Willie Rennie has called for a parliamentary debate on the Government's refusal to renew the Post Office Card Account service and a Minister's admission that they had always intended for the card to be "temporary".
Speaking from the Liberal Democrat Conference, where the party adopted a new policy to invest £2billion in the Post Office network, Mr Rennie pressed the Government to hold a debate so that they can explain their dismal record on the protection of the post office network.
The account service is used by 4,900 people across Dunfermline and West Fife every week to access benefits and other services but bosses at the Department of Work and Pensions have said they will not renew the scheme beyond 2010.
In the House of Commons Work and Pensions Minister James Plaskitt revealed that benefit recipients and MPs were not explicitly told that the account was 'temporary' at the time of its launch for fear of stirring up bad headlines.
Mr Rennie said: "Within the last year four Post Offices in Dunfermline have closed, despite widespread public resistance.
"This latest decision demonstrates the Government's willingness to undermine the long-term viability of our Post Office network.
"Across West Fife, more than 4,900 people every week use their local post office to collect benefits through the POCA system.
"Not only will people now be deprived of this service, but there will clearly be an impact on the viability of many local Post Offices across my constituency.
"It is high time this Government woke up to the fundamental importance of the Post Office network."
Speaking from the Liberal Democrat Party Conference, Mr Rennie hailed the decision by the party to invest £2billion in the post office network to enable it to compete and thrive as vital local businesses.
"The Liberal Democrats believe in the post office network. We want new investment of £2billion to ensure that the post office network has a strong future. This invest will come from investments from staff and others who will have a stake in the future of the Royal Mail."
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