Tag: Royal Mail

Postcomm to Amend Postal Operator Licences

Posted by | Aug 19, 2008 | |

With Postwatch soon to be absorbed into a larger multi-consumer watchdog known as the National Consumer Council on 30th September, Postcomm is making adjustments to its paperwork which includes existing postal operator licences.

To prepare for the abolition of Postwatch and the new complaint handling standards, Postcomm needs to make relevant licence modifications to postal operators’ licences to reflect the transfer of functions from Postwatch to the new NCC and the new complaint handling standards.

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Direct marketers under Royal Mail ruling

Posted by | Aug 18, 2008 | |

The decision by postal services regulator Postcomm to exempt Royal Mail from paying compensation for industrial action taken during 2007-08 has been greeted with disappointment by ISBA’s bulk mailer members.

Royal Mail had requested that the Bulk Mail Compensation Scheme be suspended and Postcomm have now agreed to this request. The regulator agreed that the strike action in 2007-08 had been caused by Royal Mail’s efforts to re-organise and streamline its business.

However, the Incorporated Society of British Advertisers (ISBA), which represents the interests of major bulk mailers has reacted with dismay and called on Postcomm to ensure that Royal Mail offers fair compensation to bulk mailers on an individual basis in the future.

Marketing Services Manager David Ellison said that they were most concerned that Postcomm not only gave Royal Mail an effective exemption over the strike action during 2007-08 but also for potential strikes in 2008-09.

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Post Office Outreach Funding To Be Examined

Posted by | Aug 17, 2008 | |

Following concerns by the Business and Enterprise Committee, the National Audit Office is to begin a detailed analysis of the financial support available for UK post office outreach services. The Committee is concerned that outreach services which are already replacing many rural post offices, would ultimately fail through lack of funding.

The Committee demanded clarification on the relationship between Post Office Ltd and Royal Mail as well as Royal Mail’s service expectations from Post Office Ltd, plus a detailed breakdown of exactly how Royal Mail determines the cost of such services against the actual costs as delivered by Post Office Ltd.

Alan Cook, managing director of Post Office Ltd, told the Committee that Royal Mail paid Post Office Ltd, which then paid subpostmasters for the work they did. The arrangement is somewhat unique in that Post Office Ltd is a subsiduary of Royal Mail yet is unable to raise its prices to combat growing costs.

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Postcomm statement on Royal Mail's industry consultation on zonal access price structures (UK)

Posted by | Aug 14, 2008 | |

Postcomm welcomes Royal Mail’s industry consultation on a revised zonal access price structure. This consultation impacts on two projects which Postcomm has been undertaking over the past several months.

The first project is Postcomm’s general review of zonal access pricing (under which Royal Mail charges a zonal price for delivering mail to the “final mile” for large customers and other postal operators).

The second project concerns TNT Post UK Limited’s request to Postcomm for a direction under Condition 9 of Royal Mail’s licence for two access products, both of which it requested to be zonally priced but with a two zone pricing structure.

Postcomm hopes that Royal Mail, TNT Post and the wider industry will be able to work together to put in place appropriate terms for both zonally priced access and nationally priced access to the Royal Mail network. If agreed, these new arrangements could help to secure the provision of a strong and self financed universal service in parallel with the development and sustainability of both access and end-to-end competition.

Postcomm will aim to publish its observations on Royal Mail’s industry consultation by the end of August 2008.

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Sub-postmasters' 'morale so low' – concerned MSP (UK)

Posted by | Aug 13, 2008 | |

North east of Scotland MSP Nanette Milne has voiced fears that more Post Office branches could shut in the future after the current 2,500 closure programme consultation ends.

It follows the announcement by Post Office Ltd last week that 40 Post Office branches would close.

Dr Milne said: “I have real concern as to what the Labour Government intends to do with Post Offices in the future. Speaking to sub-postmasters the North east it is clear that morale has never been so low…”

“The Business and Enterprise Select Committee, Chairman Peter Luff MP has said there could be a further 4,000 closures, mainly if sub-postmasters retired and were not replaced, and that there could be no compulsion to replace sub-postmasters who retire.

“A recent report by the Business and Enterprise Select Committee noted that the Post Office had estimated a network of around 7,500 would meet the national criteria for access to branches, although Government funding and the company’s business case were both based on the number of outlets remaining at 11,500 after the current closure programme is completed.”

She added: “I do not think it is satisfactory simply to accept that the network may continue to shrink in an unplanned way between now and 2011. Post Office Ltd should be obliged to use its best endeavours to keep the network at a minimum of 11,500 fixed outlets.

“The future shape of the network is a matter of direct political concern and the Labour Government must take ultimate responsibility for ensuring its considerable subsidies are being used to secure a network which meets the public’s needs.”

Dr Milne also commented on the Post Office Card Account contract, which is currently up for tender, with the result of who will run the contract in future, expected this summer.

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