Postcomm refutes Daily Telegraph article suggesting an end to Saturday deliveries (UK)

Postcomm has today totally refuted the suggestion in the “Daily Telegraph” that it is to recommend a reduction in postal deliveries from six days to five and is asking the newspaper to publish a retraction.

Postcomm’s stance is that the only threat to Saturday deliveries, for as long as customers need them, is from Royal Mail failing to be an efficient provider of the universal service.

The Saturday delivery is enshrined in law, in the Postal Service Act 2000, and so this, in any event, is not an issue over which Postcomm has any powers. Our commitment to secure a universal service valued by customers is just as strong as Royal Mail’s and we do not want to see any denigration of the service.

Although the universal service made a loss for the first time last year (2007/08), the size of that loss has been increased by GBP 30m by a change in cost allocation by Royal Mail that now charges all freehold property at market rents.

Royal Mail should focus on becoming more efficient in managing the national asset of the universal service.

Postcomm chairman Nigel Stapleton said:

“The story printed in today’s Daily Telegraph has no substance whatsoever.

“The only threat to Saturday deliveries is if Royal Mail fails to take up the challenge of becoming an efficient universal service provider and it remains saddled with having to fund an enormous pensions deficit. The universal service lost GBP 100m last year but instead of taking out costs, Royal Mail allocated a further GBP 30m to it.

“Royal Mail acknowledges that the universal service is a major asset and it is one which Postcomm is determined to secure. We believe that a universal service, providing all that is reasonably required by consumers, can be internally financed by Royal Mail if the issues of efficiency and pensions are vigorously tackled. Last year the negative margin on the universal service was around 3 pct. But 8 pct of the universal service costs were on pensions and the difference between Royal Mail’s efficiency and that of the “best in class operator”, which they aspire to become, would translate into a profit margin of at least 10 pct.”

Relevant Directory Listings

Listing image

SwipBox

Focus on the user experience SwipBox is focused on creating the world’s best user experience for delivering and picking up parcels using parcel lockers. Through a combination of intuitive network management software and hassle-free, app-operated parcel lockers, SwipBox delivers maximum convenience to logistics providers, retailers […]

Find out more

Other Directory Listings

Advertisement

Advertisement

Advertisement

P&P Poll

What's the future of the postal USO?

Thank you for voting
You have already voted on this poll!
Please select an option!



Post & Parcel Magazine


Post & Parcel Magazine is our print publication, released 3 times a year. Packed with original content and thought-provoking features, Post & Parcel Magazine is a must-read for those who want the inside track on the industry.

 

Pin It on Pinterest

Post & Parcel
FedEx new facility “a crucial part of our strategy for the Netherlands”
Emirates Courier Express launched to “challenge the status quo”
Evri announces robot dog delivery trial
Deutsche Post issues Germany’s first recycled stamp
SingPost: key executives step down
FedEx new facility “a crucial part of our strategy for the Netherlands”
Emirates Courier Express launched to “challenge the status quo”
Evri announces robot dog delivery trial
Deutsche Post issues Germany’s first recycled stamp
SingPost: key executives step down
1
2
3
4
5
Listing image
Listing image
Listing image
Listing image
Royal Mail: Reaching 90% automation is a key milestone
Royal Mail: customers don’t need to go out of their way to drop off their parcel
Royal Mail to roll out parcel lockers at more than 60 shopping centres and retail parks
£1.2 billion class action against Royal Mail on behalf of purchasers of bulk mail services
Share This