The universal postal service risks becoming unsustainable as people send fewer letters and receive more parcels, meaning reform is necessary to secure its long-term future, according to evidence set out by Ofcom today.
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Ofcom has today fined Royal Mail £5.6m for failing to meet its First and Second Class delivery targets in the 2022/23 financial year.
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Ofcom, the UK government-approved regulatory and competition authority for the broadcasting, telecommunications and postal industries, is laying the groundwork for providing advice on how the universal postal service might need to evolve to better reflect the changing needs of postal users.
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The Business, Energy and Industrial Strategy Committee has recommended that Ofcom undertake an enforcement investigation into Royal Mail’s delivery of the USO and to report to the Committee by the end of 2023.
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The Supreme Court has refused Royal Mail’s request to appeal against Ofcom’s 2018 decision to fine it £50 million for breaching competition law.
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