Withington MP Condemns latest Government spending debacle

12.00.00am GMT Thu 20th Nov 2008

With the UK in the throes of an economic crisis, Withington's Lib Dem MP, John Leech has this week condemned the Government's latest mishandling of taxpayers' money.

Having put the rights to run the Post Office Card Account out to tender, the Government subsequently withdraw it from the process and awarded the contract to the Post Office for a further five years. However, the Government will now be forced to compensate the private companies that were competing for the contract, and Mr Leech has submitted a parliamentary question to find out how much this will cost.

John Leech said:

'I have been campaigning hard on this issue for a long time and I am of course absolutely delighted that the Government has finally seen sense and given local post offices a lifeline after stripping so much from them.'

'But this waste of taxpayers' money brought about by the advancing of the tendering process is a disgrace and Ministers must come clean on how much this latest debacle has cost us. As the credit crunch bites, people are struggling to make ends meet, yet the Government appears quite content to continue wasting our hard-earned wages.'

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Notes to editors:

1) On 21st July 2008, John Leech delivered a petition signed by 1,500 residents of South Manchester to Parliament, calling on the government to prevent the closure of Ladybarn and Parrs Wood post offices.