Subpostmasters have warned the National Federation of SubPostmasters (NFSP) may struggle to secure funding after its current agreement with Post Office (PO) ends in March 2030.

During the event, a five-year plan was unveiled, outlining plans to enhance member benefits, strengthen public affairs and advocacy, support community development and reform its regional structure.

The plan reflects direct input from members and is built around five priorities identified through research conducted by the NFSP last year. In his keynote presentation, NFSP chief executive Calum Greenhow said the strategy was designed to place postmasters at the centre of the organisation’s future plans, with progress to be driven by collaboration, practical action and a supportive culture across the network.

However, despite the pledge, Vince Malone, of Tenby Stores & Post Office in Pembrokeshire, raised concerns about the NFSP’s long-term financial sustainability. “It’s five years away, so it’s good that it’s talking about it now,” he told Better Retailing. “But to fill the funding gap once the current agreement expires is going to be difficult. We need the correct structure in place with people who have the right capability.

“The NFSP doesn’t have a history of generating income – it’s been given an income for so long. That’s my biggest concern.” Malone also pointed to fairer payment for subpostmasters. He added: “The elephant in the room is always about pay. It’s got to make sure postmasters are paid a fair wage for the job they do.”

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Vidur Pandya, of Kislingbury Mini Market & Post Office in Northamptonshire, echoed Malone’s concerns, but expressed hope that the NFSP’s efforts and new banking deal would improve pay. He said: “Costs are going up, but not the pay packet. The biggest takeaway is that it’s looking into it. The banking framework has been there for five years now, which would provide better remuneration.

“If a card is declined by the bank, we don’t get paid because the transaction hasn’t gone through. One of the changes will be that, whether the transaction fails or passes, there will still be some form of remuneration.” At the conference, Greenhow reassured members that the body intends to become more self-sufficient, with changes to remuneration in the pipeline.

He said: “PO obviously has a plan to increase remuneration to postmasters by £250m by 2030 – including £120m by March 2026. It’s about cutting costs centrally and franchising out its directly managed branches, which will save tens of millions of pounds per year. It plans to divert that into postmaster remuneration.

“By 2030, the aim is to increase revenue significantly. Combined with reducing central costs, this will result in better remuneration for postmasters.” Greenhow added that the NFSP will also work with commercial partners to offer exclusive products and services across the PO network, generating revenue to cover costs and share profits. However, he acknowledged members’ concerns over the pace of change. “There was a lot about [pay off] tomorrow,” he said. “But what became clear from the delegates was that there are colleagues in the network who need help and support now. [Pay off] tomorrow could be too late.”

Commenting after the event, a PO spokesperson said: “Postmasters and strategic partners offer essential services in their communities and they must be paid fairly. Our transformation plan will deliver a sustainable business with better supported postmasters and partners, products and services.

“This year is about building strong foundations to deliver change that benefits our postmasters, partners, customers, and shareholder.”

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