Tag: Royal Mail

Postcomm tells Royal Mail to tighten up on poorly performing postcode areas

Postcomm today moved to make Royal Mail improve its patchy first class letter service by tightening up operations in its worst performing postcode areas.
Royal Mail has a minimum target for every postcode area to deliver 90% of first class post on time. About four in five of postcode areas throughout the UK reach or exceed this level of performance. But the remainder – a number of them in densely populated areas – do not. Postcomm today issued an enforcement notice after receiving information from Royal Mail which indicated that the company was unlikely to achieve its 2003 postcode area targets. The notice specifies the actions that Postcomm intends to order Royal Mail to take and gives the company 21 days to respond.

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Price of stamps to increase by 1p

The Royal Mail was today given the go-ahead to raise first- and second-class stamps by 1p from April, but strict price controls will be put in place for the next few years to limit further increases. A new compensation scheme will be launched for late mail, which could payout GBP10 if post is delayed by 10 days or more.

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Postcomm allows Royal Mail GBP750m to improve services and prepare for competition

Postcomm today announced its revised proposals for a price control that will permit Royal Mail to raise the price of 1st and 2nd class stamps by 1p from April 2003 – and give it the option to raise 2nd class stamp prices by a further 1p in 2004 or 2005. Today’s proposals take account of 21 responses to the consultation on Postcomm’s initial proposals, published in October 2002. The three-year control, published today for statutory consultation, will allow Royal Mail approximately £750m extra cash over the three years.

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