Post Office has announced the signing of a new contract with the Driver and Vehicle Licensing Agency (DVLA) that allows Vehicle Tax and Ten-Year Renewal products to be sold in post offices until 31 March 2025.
The move follows the government decision to remove all DVLA services from 31 March 2024.
Owen Woodley, deputy chief executive at Post Office, said the firm will meet with the DVLA each year to discuss extending the contract which can run for a maximum of three years, until 31 March 2027.
“We made a commitment to keep you, our postmasters, updated in a timely and transparent way. As Post Office is bound by confidentiality restrictions in our contracts with the government, despite a prolonged period of negotiations, we have been unable to share this fantastic news with you before now,” Woodley said.
He said the extension of the contract with the DVLA earlier this year has resulted in improved remuneration for postmasters, adding that the new deal will help in maintaining this level of remuneration for Vehicle Tax and Ten Year Renewal transactions.
“To ensure you are kept informed with the ongoing contract with DVLA, we commit to letting you know, in October each year, if extension periods are agreed. This will give you at least 6 months’ notice of any extensions, or indeed if there is any risk of this contract exiting,” he said.
