Three players set to compete with Royal Mail

Scotland will have at least three new players in postal delivery to compete with the embattled Royal Mail from next January, the industry regulator confirmed yesterday.

Postcomm said that it had begun consultation over the issue of seven-year standard UK licences to three companies Hays Commercial Services, TNT and TPG Post UK. Unlike Royal Mail, none of the trio will be regulated over prices.

Until now, all postal operators, with the exception of Royal Mail, have been restricted to interim licences valid for a minimum of 12 months.

The terms and conditions of the standard licence include a requirement for all postal operators to safeguard the mail, to set their own service standards and report these twice a year to Postcomm and Postwatch, the consumer watchdog.