Postcomm halts enforcement process on postcode performance after new information from UK Royal Mail

Postcomm issued notice of its intent to make a Final Order on 7 February after figures provided by Royal Mail indicated that the company was not likely to achieve the targets which require all individual postcodes to deliver 90% of first class post next day in February/March 2003.
New information provided by Royal Mail, and confirmed by Postwatch and its auditors, Deloitte and Touche, shows the Royal Mail’s service quality is significantly better than it originally reported. To further improve its service within individual postcodes, from 1 April, Royal Mail will strengthen the audit procedures that it uses to monitor and report on its processes. Measures it has implemented to improve performance have also resulted in much better results recently.
These measures go further than the audit and reporting requirements specified in Postcomm’s draft enforcement order and represent a new scale of commitment to ensure quality across all areas in all products. Royal Mail will still struggle to achieve its March 2003 licence targets. But providing Royal Mail improves processes in under-performing postcode areas, customers should see a sustained improvement in service quality after 1 April.
Postcomm will continue to monitor Royal Mail’s service quality and will take fresh action if standards do not continue to improve.
Notes for editors.
There are 121 postcode areas in the UK. The postcode area targets underpin Royal Mail’s overall national target for first class mail which requires 92.5% of first class letters to be delivered the next day. Because there will be local variations around the national target, the target of 90% for each postcode ensures that no area’s service dips below an acceptable level, even if the national target is achieved. Under-performance by individual postcodes gives a patchy service.