Reducing daily delivery of letters, increasing the price of stamps, cutting post office hours and introducing more self-service kiosks.

These are some of the cut-backs being considered by Isle of Man Post Office, which this year reported a loss - of £1m - for the first time in its history.

This week it launched a consultation to seek public views on how it should change its letter and parcel deliveries and post office services.

In the last 10 years, the number of letters being posted has reduced by 47% due to the advent of emails, text messages, mobile phone apps and video messaging etc.

Over-the-counter transactions are also declining, by 7% per year on average over the last three years, as customers choose to do their business online.

While fewer letters are being sent, and fewer people are using post offices than ever before, parcel deliveries and returns are increasing as more people shop online.

The cost of the Post Office pension scheme is also increasing and is not sustainable in its current form.

A five-year strategy has been drawn up by the board to address these issues and develop a modern, self-funding Post Office fit for the future.

Chairman Julie Edge MHK said: ’An important part of the strategy is to consult with Isle of Man residents, businesses, organisations and its clients.

’This will provide a better understanding of customers’ needs and how the services might be improved, offering value for money, while assuring the Post Office remains self-funding and sustainable in the future.’

The island currently has a network of 27 sub post offices, 24 of which are shops, operated independently.

As part of the consultation, public views are being sought on possible changes including increasing the price of stamps and reducing the opening hours of post offices.

It also looks at reducing letter deliveries from six to five days a week, by ending Saturday deliveries.

There are no plans to reduce the delivery days for parcels.

Expanding the use of self-service kiosks in post offices (there are currently 11 Pay&Post kiosks in 10 locations) is also considered.

Among other suggestions in the consultation are pop-up branches instead of fixed branches with ’on the road’ style mobile services, and parcel pick-up shops in convenient locations.

In July, Tynwald voted to ’put aside’ any pursuit of corporatisation for the Post Office.

Ms Edge said the board had been working with Treasury to reduce the dividend it pays to that department from £1.5m to £0.5m this year.

The consultation ’Modernising Isle of Man Post Office’ is available to complete on the government consultation Hub http://bit.ly/IOMPO.

Paper copies are available from all post offices.