Labour rebel John McDonnell said the Government had underestimated the strength of anger against the proposed cuts.
Anger among retailers over the cuts and the terms of the termination contracts continues to grow.
The Post Office’s plans to restrict the services ex-sub postmasters offer in the first year after their mail services contracts expire have been attacked as confusing and ill conceived by Rural Shops Alliance boss Ken Pearson.
Press reports indicated that the Post Office had added clauses to compensation agreements, penalising them for selling lottery tickets or providing bill payment facilities that rivalled Royal Mail counter services.
“My understanding…is that the Post Office will reduce your compensation package pro rata. If say lottery tickets represent 10 per cent of your remuneration, then they will knock you compensation by 10 per cent,” said Pearson.
A Post Office spokesman refused to be drawn on the specifics of any severance agreements, but said that shops already running rival terminals would be unaffected.
