Post Office retailers are working more hours for less revenue and less earnings according to the company’s latest results.

The Post Office turned a profit for the first time in 16 years, but this comes from cost cutting rather than revenue growth.

The Government-owned company’s annual results show a 3% fall in retail revenues (5.2% decrease overall) and a 6.1% fall in Postmaster’s fees. This comes despite the Post Office announcing that branches are open for an extra 200,000 hours every week.

The Post Office hailed the first profitable results in over a decade as the “biggest transformation programme in UK retail history.”

The Government-owned company made £13million in 2017 and will also receive an additional government investment of £370million to help it “grow and modernise its network and services.

Business Secretary Greg Clark said the network of post offices was “At its most stable in decades” following the transformation of 7,500 branches since 2012, including the conversion of 7,000 branches into retail outlets.

Post Office CEO Paula Vennells described the announcement as “a major milestone” and said further change would follow. She said the additional funds: “Will enable us to continue transforming the business to meet our customers’ changing needs.”

The Post Office also claimed that it is now the biggest Sunday retailer, with 4,000 branches open every day of the week. The company forecast that the rise in online shopping would further aid its profitability.

Previous commission fee cuts for subpostmasters and a recent change in employment law have led some retailers to demand worker's rights from the Post Office. If their planned tribunal is successful, it could open the path to a £197m wage bill.