Post Office (PO) has announced an exclusive deal with Western Union to provide money transfer services at branches, following the departure of Moneygram from stores last year, in a deal which the company described as “long-term”.

Having provided services to select PO branches since 2022 alongside Moneygram, Western Union will now become the sole provider of international money transfer services at Post Office branches. PO also announced the deal will see it expand beyond its current 4,000 Post Office locations which offer its money transfer services, which it said will “provide customers a reliable and convenient way to send money overseas from thousands of locations across the UK”.

EXCLUSIVE: Post Office shares path for upping branch pay starting with £1.5k rise in April-May

In November last year, PO announced previous provider Moneygram would not be returning to stores after last minute negotiations to renew its contract fell through, ending a 28-year partnership. At the time, Western Union was also providing money transfer services to branches not using Moneygram.

Announcing the exclusive partnership, PO said: “This exclusive deal for money transfer services follows Post Office’s agreement with 30 banks and building societies, signed in April, to protect access to cash on the UK high street until December 2030”.

EXCLUSIVE: Post Office retailers hit by MoneyGram outage to still receive remuneration

PO and Western Union also said they were “committed” to further investment in marketing, with more opportunities for bespoke signage and dual branded marketing campaigns.

“As part of the new deal with Western Union, postmasters and strategic partners will benefit from enhanced financial incentives for every money transfer transaction handled in branch, building on the uplift introduced in October 2024,” PO said.

PO CEO Neil Brocklehurst said: “Under this new deal, postmasters and strategic partners will see more money in their pockets for each Western Union transaction which is a crucial part of the commitment to transform Post Office and deliver a ‘new deal for postmasters’”.

Read more Post Office news