Postcomm to review final mile delivery plans (UK)
Postcomm is reviewing the barriers postal operators face in the final mile delivery, due to the decline of competition since the postal market fully opened up in 2006.
Postcomm will explore whether competition in delivery is necessary to provide benefits to customers and, if so, seek to identify the key barriers to entry for delivery competition.
The postal regulator is assessing the potential benefits to ensure a healthy universal service and to support a range of reliable, innovative and efficient postal services.
While competition through access agreements has developed quickly since Royal Mail negotiated the first agreement in 2004, competition in delivery has declined for the last two years.
Postcomm has already identified a number of possible barriers, such as Royal Mail’s VAT exempt status, behaviour and redirection of mail. The regulator will also be seeking views on new and emerging issues affecting the growth of competition in delivery, such as market uncertainty, zonal access requirements, customer purchasing behaviour and limitations of using alternative networks.
A proposal will be issued in August 2008.
Postcomm is reviewing the barriers postal operators face in the final mile delivery, due to the decline of competition since the postal market fully opened up in 2006.
Postcomm will explore whether competition in delivery is necessary to provide benefits to customers and, if so, seek to identify the key barriers to entry for delivery competition.
The postal regulator is assessing the potential benefits to ensure a healthy universal service and to support a range of reliable, innovative and efficient postal services.
While competition through access agreements has developed quickly since Royal Mail negotiated the first agreement in 2004, competition in delivery has declined for the last two years.
Postcomm has already identified a number of possible barriers, such as Royal Mail’s VAT exempt status, behaviour and redirection of mail. The regulator will also be seeking views on new and emerging issues affecting the growth of competition in delivery, such as market uncertainty, zonal access requirements, customer purchasing behaviour and limitations of using alternative networks.
A proposal will be issued in August 2008.
