A multi-million pound Government aid package, described as the biggest change in post office services for over 100 years, has been announced to save rural post offices.

Deputy to the leader of the House of Commons Paddy Tipping revealed the new measures yesterday in Watlington.

They were described as the biggest change in post office services for over 100 years.

Speaking at the town's post office, Mr Tipping vowed to stop closures by bringing post offices into the 21st century. And he said Watlington, which has already lost its community hospital and one of its two banks, was the perfect place to unveil the plans.

He admitted that Government plans to pay pensions and benefits directly into bank accounts would damage post offices.

But he backed calls by the Post Office to set up a new 'universal bank' for people without bank accounts.

He also promised a major round of subsidies to post offices.