Post Office chairman Julie Edge has been called on to ensure that, if corporatisation goes ahead, it does not become a money-making bonanza for board members.

A number of Tynwald members have already made clear their objection to the idea of switching the Post Office’s status from a statutory board to a government-owned company.

A review of the Post Office’s position, and whether controversial corporatisation plans will proceed, is due to include a public and staff consultation and, ultimately, lead to a five-year strategy.

In the House of Keys on Tuesday, Dr Alex Allinson (Ramsey) said: ’Looking across, at examples where public services have been corporatised, it seems to be a common trait that members of the board then remunerate themselves exponentially and the chief executives get pay rises.’

He asked Ms Edge to pledge that there would be ’a moratorium on the pay rises that people can award themselves’.

Staff should also have a representative on any future board, he said.

Ms Edge said that the first stage of any process would be for Tynwald to consider new articles of association, as a result of a Tynwald resolution last year.

’We have got to make sure that all of these protections are identified within that,’ she said.

’That is where we need to ensure - and we all need to come on board together and make sure - that what is in is what we want for the future of the Post Office.’

Tim Baker (Ayre and Michael) asked: ’In the event of corporatisation what protection will be put in place to ensure the network of rural post offices, which provide essential and valued services to our Island community, are maintained?’

Mrs Edge pledged: ’That is something that is at the core of the discussions with the board and, under my chairmanship, I will make sure that we look after the community and the social element of the postal structure.’

But she added the caveat that it was subject to the outcome of the Post Office’s review.

Mrs Edge revealed that, under the current set-up, the Post Office had authorisation for dealings of up to £1 million before requiring Treasury concurrence.

David Ashford (Douglas North) queried ’what the logic would be in corporatising something that already returns an existing profit to the Manx taxpayer, unless, of course, the logic is that it allows them to compete against existing private sector businesses’.

Last year, Tynwald rejected most of a report that proposed the corporatisation of the Post Office, other than a call for the adoption of articles of association.