The grim reality is postmasters are actually paid a pittance and subsidising the Post Office out of their own pockets

BRITAIN'S army of loyal postmasters are paying to keep counters open for their communities.

- By Giles Sheldrick Chief Reporter

As it reels from the Horizon IT fiasco, the Post Office faces another scandal as its self-employed legion dip into their own pockets to keep loss-making businesses afloat.

Others plough money from sidelines to cover huge shortfalls.

The brutal reality of running a counter has been laid bare at a time when the first comprehensive review in 15 years could see a slew of branches close.

And while the public wants to keep vital services, most are unaware of the personal toll on those battling to keep heads above water.

Postmasters have told this newspaper that public-spirited individuals are essentially propping up a state-run service.

In many cases it is the only reason communities still have a functioning Post Office.

In Killin, a picturesque village of 700 people in the central Highlands of Scotland, the Post Office is a lifeline. But it barely breaks even.

The counter is in MacGregor's Community Hub, which started life as a cooperative in 2014.

Today it is a thriving Open All Hours-style store offering fresh, seasonal produce, alongside traditional offerings. It has branded itself as "Scotland's littlest department store with the biggest heart".

It was trumpeted as a beacon of hope in the Government's Post Office Green Paper, which seeks to transform the service but manager Ellie Banwell, 45, said that doesn't tell the whole story.

She said: "The Post Office barely washes its face but so far our best month was just over £14,000 in turnover and we're averaging £12,000 for the last six.

"As online shopping exploded it has eaten up independents who have struggled to survive. And as people have retired no one has wanted to take them on.