MORECAMBE MP Geraldine Smith has defied Labour whips in a debate over the future of sub post offices.

Ms Smith ignored a three-line whip to support a Liberal Democrat motion demanding that the Government set out clear policies and a timetable to deal with the potential collapse of the sub post office network.

In a House of Commons speech, Ms Smith also slammed the post office regulator Postcomm for apparent 'dogmatic arrogance and incompetence.

She said: "Postcomm has misinterpreted the Postal Services Act, although I am not sure whether it has done so through dogmatic arrogance or incompetence.

"When I and a number of colleagues from the House met representatives of Postcomm, they displayed little knowledge of the workings of the postal industry and failed to answer the many pressing questions that we asked.

"They appeared to display a dogmatic arrogance, they appeared incompetent and they appeared not to understand the postal industry.

" Postcomm has introduced proposals that target the most profitable areas of the postal business and could, indeed, lead to the collapse of Consignia.

"The profitable areas of the Post Office supports the rural network.

Competitors will not step in and take over the small rural post offices, which do not make much money.

" They are not the part of the Post Office that private competitors want.

The cross-subsidy keeps the Post Office in business, and it is so important."

In reply, competition minister Nigel Griffiths said: "The Member for Morecambe and Lunesdale made some telling points.

"I had the pleasure of visiting her constituency recently, so I know how in tune she is with her constituents.

"She asked about the 1p increase in the price of stamps.

I can confirm that this week Consignia applied to raise the price of a second-class stamp from 19p to 20p and the price of a first-class stamp from 27p to 28p.

"That will now be considered by the regulator, and any representations that my hon.

Friend or anyone else wishes to make will be taken into account.

Even with that increase, the House will want to know that the cost of sending a standard letter in Britain will remain cheaper than almost anywhere else in the world.

"Even if we apply the proposed new first class charge of 28p--I stress that it is a proposal--it will still be cheaper than the cheapest in other EU countries.

Spain charges the equivalent of 29p, and Italy--the highest--the equivalent of 97p.

"To put the matter in perspective, even if the proposed rise is allowed, the cost would still be reasonable.

Indeed, it would be very low in European terms."