Tag: UK Mail

Business Post could double in size over 3 years following UK Royal Mail deal

Posted by | Feb 10, 2004 | |

Paul Carvell, chief executive of Business Post PLC, said today’s ground-breaking access agreement with Royal Mail PLC could double the size of Business Post over the next three years. Under the terms of the deal, business letters sent via Business Post’s UK Mail division will be delivered by Royal Mail, who will be charging around 13 pence per letter for the service. Analysts have assumed that 2006 will see an achievement of 1.5 pct market share, rising to 3 pct by 2007. Carvell said the group is targeting a 3 pct market share in the medium term.

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UK post service rivals reach surprise pact

Posted by | Dec 18, 2003 | |

Royal Mail and Business Post shocked the postal regulator yesterday by agreeing to an eleventh hour deal on access pricing. The companies, which have been wrangling for nearly two years over how much Business Post must pay to access the so-called “final mile” of Royal Mail’s delivery network, announced they had signed heads of terms on the issue. However, the details of the deal are likely to remain confidential until January. The news came as a surprise to Graham Corbett, the outgoing chairman of postal regulator Postcomm. He had been due to publish a decision on access pricing tomorrow, after the two companies had asked the regulator to mediate on the issue. “This is like being on the courtroom steps,” he said. “They have suddenly found themselves thinking that they don’t want a deal imposed on them by a judge or a regulator.”

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Postwatch comment on UK Mail and Royal Mail agreement

Posted by | Dec 17, 2003 | |

Peter Carr, chairman of postal watchdog Postwatch, said: “It is good news that UK Mail and Royal Mail have reached an outline agreement – we hope that this will result in a full agreement by the end of January. “However, the regulator was due to announce a decision in just two days’ time and this would set a standard for other companies wishing to compete in the UK postal market.
It is important that Postcomm publishes this information as planned so that other operators can proceed now to make decisions on market entry. More than one competitor is needed to provide choice to customers.”

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UK Mail signs Heads of Terms with the Royal Mail

Posted by | Dec 17, 2003 | |

Business Post, the fast-growing express delivery company, is pleased to announce that its subsidiary, UK Mail Ltd, has signed Heads of Terms with the Royal Mail for access to Royal Mail’s local sorting and final delivery network.

The terms envisaged, which are confidential, are in a similar format to those of the proposed determination of 19 May 2003 by Postcomm, the independent postal industry regulator. Detailed terms remain subject to contract, which it is intended will be signed in January 2004.

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