Chairman Nigel Railton made the announcement on Wednesday (November 13) morning saying the decision came as the group looks to boost postmaster pay by £250 million over five years.

The Post Office revealed it is looking to offload 115 directly-owned branches within its 11,500 network.

This could see these branches transferred to retail partners or postmasters, or potentially closed.

BREAKING: The Post Office announces it is closing 115 branches in a cost-cutting drivehttps://t.co/PAiZ4D1jU3

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Retailers such as WH Smith, Tesco, Morrisons and the Co-Op operate around 2,000 Post Offices across the country.

The rest of the network – about 9,000 Post Offices – are operated by independent postmasters.

Post Office jobs at risk as more than 100 branches face closure

Around 1,000 workers are employed across the 115 Post Office branches at risk of closing which are now all at risk.

Hundreds of further roles are also under threat at Post Office headquarters as it looks to streamline back office operations.

Post Office chairman Nigel Railton said the shake-up will also offer a “new deal for postmasters” by increasing their share of revenue and giving them a greater say in the running of the business as it looks to move on from the Horizon IT scandal.

The plans, which are subject to government funding, would see average branch pay doubled by 2030, with £120 million in additional pay by the end of the first year.

The Post Office network includes 11,500 branches across the UK. (Image: Rui Vieira/PA)

Mr Railton made the announcement at the company’s headquarters in London on Wednesday in a speech to postmasters, retail partners and staff.

He said: “The Post Office has a 360-year history of public service and today we want to secure that service for the future by learning from past mistakes and moving forward for the benefit of all postmasters.

“We can, and will, restore pride in working for a business with a legacy of service, rather than one of scandal.”

He added the overhaul also “begins a new phase of partnership during which we will strengthen the postmaster voice in the day-to-day running and operations of the business, so they are represented from the frontline to the boardroom”.

It follows a strategic review launched by Mr Railton in May, but is reliant on funding talks with government, which the Post Office said were “positive and ongoing”.

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The government is also said to have been consulted on the possibility of handing ownership of the network to thousands of subpostmasters across the country.

A Post Office spokesperson said: “The plan intends to create a new operating model for the business that means ensuring the Post Office has the right organisational design.”

As part of the transformation, the Post Office is also setting up a new postmaster panel to increase support and training, as well as a consultative council “to ensure postmasters’ interests remain front and centre”.