The House of Commons has voted to back plans to close at least 3000 post offices in towns and cities.

Approval for the £180 million compensation package for sub-postmasters who resign means that the Post Office will be able to identify which branches are unviable and should be closed.

A further £30 million will be made available to modernise the remaining 6000 branches.

Stephen Timms, the industry minister, said the alternative was an unplanned spiral of decline.