UK Royal Mail’s 2002/03 results – Postwatch welcomes progress

Royal Mail Group today announced, as expected, an improving financial performance
and predicted a return to profit in 2003/04. They also announced continued growth in
mail volumes and their best industrial relations for over 10 years.
At the same time the new Chief Executive admitted, (in advance of announcing the
details next week) that it was disappointing only 3 of the 15 performance targets were
met. One of the targets missed was for the flagship 1st class stamped and franked
service. Royal Mail revealed that only 91.8% of 1st class letters arrive next day. This
means that over a million letters per day are not arriving on time.
Peter Carr, Chairman of Postwatch, commenting on the announcement said, “This is
very good news and the new management should be congratulated – in particular
they should be applauded for a year without industrial conflict.
“Customers will remain concerned that, although improving, standards of service are
still short of target at a time when prices have increased”.
No predictions were made in today’s announcement about when customers could
expect Royal Mail to achieve the minimum performance standards set out in its
licence. Postwatch would like to see such a commitment accompany next week’s
announcement on delivery performance in 2002/03.
-ENDS-