BoI bullish over post office venture

THE full benefits of Bank of Ireland’s joint venture with the Post Office in Britain will not be seen for 18 months, the bank said yesterday.

Speaking at the presentation of the group’s half-year results, which were accidentally released ahead of schedule on Wednesday, chief executive Mike Soden said the bank hoped to generate revenues far in excess of its £125 million (€181 million) investment in the new business.

The joint venture will see Bank of Ireland supply personal loans, motor insurance and other finance products through Britain’s network of 16,900 post offices. Mr Soden said products would be gradually rolled out across the network after the initial launch of personal loans in 200 post offices in January. The bank already supplies foreign exchange services to the Post Office, generating profits of £37 million last year, and hopes to build on this success with the extended range of products.