Tag: UK Mail

Postal groups not keen to cover in strike

Private sector postal companies are lukewarm about providing cover if there is a national postal strike, undermining a central plank of the Royal Mail’s bargaining strategy with unions.
The Royal Mail has warned the union it “will not emerge from even the threat of a ballot unscathed . . . If postmen and women walk out, customers will walk away and competitors walk in.” But the private companies claim to be lukewarm about the prospect of delivering post in the event of a strike. Four companies – Hays, TPG of the Netherlands, UK Mail and Express Dairies – hold licences to operate in the UK postal market, mostly handling business post.

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Business Post's UK Mail granted long-term licence by Postcomm

Business Post Group PLC said its unit UK Mail Ltd has been granted by Postcomm, the independent postal industry regulator, a long-term licence to provide postal services for business customers. The licence, which is for a minimum period of seven years, permits UK Mail to undertake collection, sorting and national distribution of business mail, with Royal Mail undertaking the final delivery.

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Postcomm issues long term licence to UK Mail

Postcomm today issued its fourth long term licence to UK Mail Ltd. The licence, for a minimum period of seven years, will enable the company to provide consolidation services for business customers. UK Mail Ltd currently holds an interim postal licence for similar services. This will be revoked by consent.

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Lower access prices encourage independent operators to compete for share of UK business mail market

UK Mail is the first independent mail operator planning to use Royal Mail’s delivery offices to win a larger chunk of the lucrative business mail market. At the price proposed yesterday many others should soon follow. Hays, which runs a document exchange service, Holland’s TPG, Germany’s Deutsche Post and Express Dairies all have either interim licences or seven-year licences to compete with Royal Mail. These allow them to carry and sort bulk mail as well as provide document exchange and guaranteed delivery services. Express Dairies can even deliver certain items on its milk floats. But none has been able to establish a national door-to-door network to rival Royal Mail’s. Postcomm’s proposed prices, which will go out to consultation, should encourage rival operators to hit the market hard.

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UK Companies set to benefit from changes early next year

Joe Public is unlikely to see a change in the price of sending a letter as a result of yesterday’s decision. The postmen and women delivering mail will not change either, although much of the post they will be carrying will soon no longer bear the Royal Mail name. But businesses could benefit from the changes as early as next year if a low access price encourages, as Postcomm predicts, the development of new services and competition over existing ones. Postwatch, the consumer watchdog said: “Access to the Royal Mail pipeline, could in time, grow the size of the overall market – again, good news for customers.”

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