Securicor says Royal Mail unit withdraws outsourcing contract

Securicor PLC said Royal Mail’s cash handling and distribution division has withdrawn its proposal for the outsourcing of its cash management and transportation services “to avoid disruption across the Royal Mail customer base at a critical time of year”.

On Sept 20, Securicor was awarded the 10-year contract with turnover of between 800 mln and 1 bln stg over that period.

“We are disappointed that Royal Mail has had to take this decision. However, Securicor has developed a market-leading cash management and transportation solution and is now in a position to bid for other significant outsourcing contracts which may be tendered in the future,” it said.