UP TO a third of Hampshire's sub post offices may close under a huge cost-cutting scheme.

Between 40 and 50 of the 146 branches scattered across Southampton, Eastleigh, Winchester, Alresford, Lymington and North Baddesley may be forced to close.

In the last 18 months 12 county post offices have closed their doors to the public.

Consignia, the new name for the Royal Mail group, has sent out letters outlining the closure and modernisation scheme to post office managers.

Sub-postmasters in loss making urban branches are to be offered up to £67,600 to shut up shop under a national £270m "compensation" package. The cuts come on the back of losses of more than £100m.

All the branches that would close in Hampshire have been defined as "urban" by the government because they are in areas with more than 10,000 people. The SO postcode area has few rural post offices, which are protected from the cuts.

Consignia wants surviving branches to offer a wider range of services and is offering grants to them to start new ventures such as Internet cafes.

There is also a threat to post offices in Gosport and Fareham as well as the Portsmouth area.

MPs, community leaders and unions have condemned the closures. Winchester MP Mark Oaten said: "It is outrageous. If they had not messed about with their logo these post offices could have been saved - that cost over £1m and local post offices are paying the price."

Chris Perry, director of Age Concern Hampshire, said: "For many people the post office is the focal point of the community. Obviously as far as older people are concerned, not having access to a post office is a blow.."

Andy Straker, south east regional secretary of the Communi-cation Workers Union, said: "This is no better than vandalism by the company and the government. It's about time they turned the Post Office round rather than shutting branches."

Alan Barrie, executive director of the Post Office, said: "In many towns and cities there are simply too many Post Office branches for the number of customers. Profit-ability is reducing to the point where it is increasingly difficult for sub-postmasters to run a viable business, let alone invest in the future.

"Everyone agrees that this needs to happen. Customers can rest assured that even after these changes, over 95 per cent of people in urban areas will still live within a mile of their nearest branch and the majority will live within half a mile."

Consignia have today asked the government for permission to raise the cost of a first cost post by one penny