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To: ci: Secretary of State
MR MCCARTNEY Sir Michael Scholar
Mr Macdonald
Mr Baker CGBPS
From: Mrs Britton
DAVID SIBBICK Mr Hosker FRM
DIRECTOR POSTS Dr Hopkins cil
i Mr Osborne Legal C
kingham Palace Road Mr Seabrook COM
G RO j Mr Whitehead CGBPS 1
ia I Mrs Wright CGBPS1
Ms Anderson CGBPS1
27 July 1999 Mr Corry SpAdv
Ms Moore SpAdv
HORIZON WORKING GROUP: 4TH MEETING: 27 JULY 1999
Issue
A brief update before your Horizon Working Group meeting at 6.00 pm this evening
Detail
Hori sad
I have spoken this morning both to POCL and to ICL. Both confirm that all remaining
difficulties between them have now been resolved, and that the agreement is ready for
signature. All that now stands in the way of POCL signing the agreement is the
decision by the Post Office Board not to do so until the back-to-back agreement with
BA has been satisfactorily concluded. I understand that you were due to speak to
Alistair Darling last night to try to reach agreement with him on a compromise
solution, particularly in respect of the payment levels for OBCS. I have not so far
heard what, if anything, transpired.
PIU Interdepartmental study
As of yesterday evening, the Prime Minister had not approved the proposed new
programme of studies by the PIU. However, we understand that the study of the
longer term future of the counters network is the number one item on the PIU's list,
and they have also indicated that, if selected, it would be the first study to be started in
September, with a view to completion by about the turn of the year to allow time for
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the access criteria, which the new Regulator will have a duty to monitor, to be
formulated. I see no reason why you should not be open with the members of the
Group on the understanding that they do not make the information more widely
available for the time being.
Future work programme
On the assumption that the agreements with ICL and BA are settled within the next
day or two, there seems no reason for the Group to meet again until after the summer
holidays. I suggest that we establish a date when most are back, and use that session to
major on a discussion with BA on their plans for the migration to ACT from 2003, to
press them on whether they envisage any changes between now and then, on their
latest estimate of the size of the unbankable rump (assuming no compulsion), and how
they intend to deal with it. Later sessions might include one with POUNC, and
perhaps one with the PO/BT pension fund which, as the representative of a very large
number of pensioners, has said that it would be interested in talking to the Group about
the longer-term future of the network.
DAVID SIBBICK
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