One of Britain's oldest post offices has closed after 224 years in the wake of stringent government cuts. The popular branch had served the seaside community of Charmouth in Dorset since 1795 but closed amid the 'disgraceful and illogical' modernisation of the service. The last postmasters, Steve and Gill Pile, called it quits after Post Office Ltd, which is owned by the government, said their service had to downsize and move into another shop in the village. ‹ Slide me › The popular branch had served the seaside community of Charmouth in Dorset since 1795 Steve and Gill Pile have been forced to close the Charmouth Post Office, after 20 years at the helm The couple claimed that the coastal village of 1,300 people could sustain a full post office service, but their arguments fell on deaf ears. Royal Mail launches UK's first parcel postboxes in battle against couriers Royal Mail is launching the UK's first ever parcel postboxes in its battle against private couriers. The move follows a successful trial, making the first major change in the use of postboxes in 160 years, and comes after news of 2,500 potential Post Office closures. Small businesses and other sellers will be able to post pre-paid parcels in the same way they currently send letters. Customers will also be able to return packages using the new boxes, providing they have the required barcode. The parcel postboxes are being introduced later this year in locations across the country including Birmingham, Leeds, Aberdeen and Cardiff. The process rumbled on for six years, with Post Office Ltd unable to find another venue, but the Piles decided they had enough of the 'shambolic process' and last week closed the doors, deciding to put their 'quality of life first'. Charmouth is now without a post office - which also provided its only free cash point service - leaving villagers 'in tears'. The service is one of 1,000 post offices to have shut in recent years and experts predict up to 2,500 more will close or downsize in the next 12 months. On their final day, customers presented the Piles with a card signed by more than 130 people while a neighbouring estate agent threw a small party. Mrs Pile, 60, said: 'I believe the Post Office Ltd are trying to get something organised for it to be put into a newsagent in the autumn but we don't know if it will actually happen. 'We have been so overwhelmed with the outpouring of support from the village to us. 'There was a steady stream of well wishers into the branch and they gave us a card with 130 signatures and bottles of whisky on our last day. 'The estate agent nearby threw a small party but we didn't want to celebrate because we don't want to rub salt into the wound. 'People have come up to us in tears saying we don't know what we're going to do now the post office is closed. 'There's a section of society who can't go out very easily and still find it very difficult to get money. It's a very cash orientated community. Charmouth is now without a post office - which also provided its only free cash point service, leaving villagers 'in tears' The couple moved to Charmouth, that sits on the heart of the Jurassic Coast World Heritage Site, 20 years ago and have run the post office there ever since POST OFFICE 'BEYOND TIPPING POINT' The Post Office is said to be 'beyond tipping point' following news of Government funding cuts. Up to 2,500 small post offices will close or downsize in the next 12 months because of financial hardship, says the National Federation of Sub-Postmasters. Post offices have seen income from Government services fall from £576million in 2004-05 to £99million in 2017-18. Most close because the sub-postmaster, the private business people running smaller branches, can no longer make a living. The association is calling on the Government to extend the subsidy to the post office network beyond 2021 to protect village branches. The NFSP claim that without the subsidy the network would not be able to survive and 3,000 'community' branches, typically in rural areas, will be at risk. Banks axed more than 750 of their branches last year, leaving post offices as a vital service, especially for older customers in rural communities. The vast majority of post offices, about 98 per cent, are operated by franchise partners or sub-postmasters, who are independent business people. Only Crown post offices are directly managed by the Post Office. 'It's the last thing we wanted but we've just become so fed up of the shambolic process with the Post Office Ltd that we decided to put our quality of life first. 'Working for the village has been great, working for the Post Office Ltd has not, and it's got steadily worse. 'I suppose they will be happy that they don't have to pay us £50,000 in compensation as we shut ourselves and were not closed down by them. 'But their illogical policy made this business unsellable and unviable, and there are hundreds of other 'stuck post offices' in our position.' The couple moved to Charmouth, that sits on the heart of the Jurassic Coast World Heritage Site, 20 years ago and have run the post office there ever since. The closure comes at the same time a survey found one in five post offices may close over the next 12 years as the self-employed postmasters struggle to earn a living. Ahead of the closure, Mr Pile, 70, said in a statement: 'In 2013 Post Office Ltd announced that it was to be part of their 'Network Transformation'. 'This is a somewhat illogical process which basically meant that if your post office was in a community with other suitable shops available then the post office would be moved to another location and transformed into a 'Local' - leading to some downgrading of services and a major reduction in salary for the postmaster.' The oldest working post office in the world is in Sanquhar in Dumfriesshire in Scotland. Its origins have been traced back to 1712 - beating its nearest rivals in Sweden and Chile. The process rumbled on for six years, with Post Office Ltd unable to find another venue, but the Piles decided they had enough of the 'shambolic process' and last week closed the doors, deciding to put their 'quality of life first'All rights reserved for this news site dailymail and under his responsibility