Post Office has announced a package of remuneration improvements for postmasters
Post Office has announced a package of remuneration improvements for postmasters designed to strengthen postmaster revenue across the network. The changes, which take effect from April 2026, include a higher income share from product sales, an increased incentive for completing back office tasks, and a consistent approach to remuneration across different branch types. These updates demonstrate another step forward in our plan to build a stronger, simpler and more competitive Post Office for everyone.
As part of the package, Post Office will:
-
Align variable remuneration rates across different branch types from April.
-
Provide a greater share of income from product sales, with remuneration for banking and travel products to increase to at least 55% of the relevant income; and all other products to be at least 50% from April.
-
Introduce a 4% top-up for Mains branches payable monthly against their variable rates for 12 months from April trading.
-
Increase the incentive for back office tasks to 6% from April trading.
-
Increase the amount postmasters and partners can earn for every Travel Money Card sold from 40p to £5.00.
In 2024 Post Office set an ambitious goal to increase postmaster remuneration by £250 million annually by 2030. Over the last financial year, we made significant steps towards that goal, delivering more than £86 million in increased remuneration, despite a challenging economic climate and intensifying competition across our key products.
We’re projecting to be just over halfway towards the £250 million increase in this financial year, which is year two of our five-year plan. Over the next year, we will keep working in partnership with postmasters to drive sales and, in turn, remuneration. A continued focus on automation, new products and services and reducing central costs remain key to our transformation strategy, as we work to secure a thriving post office network for years to come.