SWINDON'S two main town centre post offices are to close to make way for a new, flagship branch at Plaza 21, on Sanford Street.

The new branch is set to open in October this year.

The Post Office says the merger is needed because of Government plans to pay benefits directly into bank accounts next year.

This, it claims, will cost it millions of pounds in revenue.

Area manager Kevin Ray said: "While business levels cannot sustain two main post office branches for the centre of Swindon, we are determined to provide services, and in improved premises."

The Post Office has said that the new branch will have the same number of serving positions as are currently provided by the existing Fleming Way and Theatre Square branches.

There will also be a bureau de change.