Postcomm today granted its third long term postal licence to Express Ltd, which will use its milk delivery network to provide postal services to business customers. The licence covers bulk mail, consolidation and enhanced document exchange services. The new standard licence, which will have a minimum life of seven years, replaces the interim postal licence formerly held by Express, which will now be revoked.
Read MoreA little-known underground railway carrying letters and parcels beneath London’s streets is to be mothballed at the end of May, according to a leaked memo circulated to Royal Mail employees. The 75-year-old Mail Rail network, which runs from Paddington to Whitechapel, has fallen victim to cost cutting. Its closure will come under attack this week from London assembly members, who say alternative uses for the line should be explored, including transporting valuable items such as money or jewellery. Talks to try to save the railway have been under way since November, with the Communication Workers Union staunchly opposing the closure.
Read MoreWatchdog Postwatch has attacked Royal Mail over a new service which allows brand owners to surreptitiously piggyback the Home Movers Service. The new scheme, currently on trial, will give Royal Mail an extra revenue stream. It allows companies to use the same envelopes as the Home Movers Service, although they will not contain the redirected post. Royal Mail plans to charge marketers around 68p per insert, with further negotiations for bulk mailings. Postwatch says it has not been notified about the new service and is unimpressed with the move.
Read MoreThe prospect of Royal Mail paying a hefty fine for anti-competitive behaviour receded yesterday after the Office of Fair Trading decided not to investigate a “super complaint” brought against the operator by Postwatch, the consumer watchdog, last month. The OFT referred the complaint to Postcomm, the regulator, meaning the issues raised “no longer have the status of a super-complaint”, Royal Mail said. Under the Enterprise Act, yet to come into full force, Postcomm is not empowered to deal with the complaint in such a way.
Read MoreThe super-complaint from postal watchdog Postwatch has been referred by the OFT to the industry regulatory body Postcomm. The complaint, made on 18 March, related to Royal Mail’s Mailsort service. This provides a discount for businesses that carry out their own initial mail sorting for large volumes of mail. The complaint alleged that Royal Mail was abusing its dominant position in the market for delivering letters to favour its own mail consolidation business over its Mailsort service.
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