Tag: Postwatch

Royal Mail is understood to be concerned at the rising expenditure at Postwatch, the consumer group. Accounts for Postwatch in the last financial year showed that Pounds 4 million was spent on staff costs; Pounds 1.7 million on council and secretarial expenses; Pounds 430,000 on networking, travel and subsistence; and Pounds 564,000 on office costs. Staff costs have risen from Pounds 2.7 million and the cost of “other administration” has jumped from Pounds 5.5 million to Pounds 6.2 million. Postwatch has also taken out leases of Pounds 1.65 million to cover the cost of IT and property, and has a deficit of Pounds 261,000. Royal Mail provides more than Pounds 10 million funding a year to Postwatch, but relations between the two have become acrimonious.

Despite the popularity of e-mails and text messaging customers continue to
post Christmas cards in record numbers. Royal Mail have today announced a record number of deliveries were achieved this Christmas. Over 2.2 billion items were delivered. Postwatch thanks Royal Mail on behalf of customers for their record breaking effort. Peter Carr said “This is a good result for Royal Mail and it is encouraging that mail volumes have been sustained despite the e-alternatives. All the management and staff should be congratulated.”

Royal Mail has pledged to pay nearly GBP60m in compensation to businesses as a result of the disruption to mail services caused by last year’s unofficial industrial action. The company, which has already paid out more GBP50m, will return an extra GBP7m. The move comes as the postal operator claims UK firms have escaped the latest round of price hikes, with the freezing of rates for bulk business mail services Mailsort 2 and 3. First-class stamps will rise by 2p to 30p in April. But Postwatch chairman Peter Carr has poured scorn on the claims: “Once again, Royal Mail is increasing revenues by asking small businesses to pay more for stamps. These are the customers least likely to be offered a competitive alternative. Meanwhile, those most likely to be offered a competitive alternative will see price decreases.”