Tag: UK

Drop in financial direct mail skews ‘Top 100’ figures

Direct mail spend fell by nine per cent in 2004 among the UK’s top 100 biggest spenders – a drop of £78.5m. Almost half (41) of the top 100 mailers reduced spend last year, Marketing Direct’s Top 100 Mailers report has revealed. However, total direct spend rose by 1.7 per cent (up £32m to £1.9bn), accounting for 23 per cent of all marketing spend, according to the latest IPA Bellwether Report.

This discrepancy can be explained by cutbacks in the financial services sector, according to Richard Roche, head of media markets at Royal Mail.

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Firm aiming to lick UK Royal Mail

A post company is using Swindon in the vanguard of its attack on Royal Mail.
UK Mail has opened its first letter sorting machine at the Hillmead Enterprise Park in Swindon. And it has hinted that it might use the town as an experiment for setting up postboxes in large shops or shopping centres for the general public. The centre will allow UK Mail to sort up to 20,000 items of post a day and will be the first of several ­ others are planned for Leicester, Leeds, London and Glasgow.

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UK Mail union gears to oppose sell-off

The largest union for Royal Mail workers yesterday began its annual conference with a promise to fight attempts to privatise the national postal operator and threatened to break links with Labour if the government sold any of its stake.
The Communication Workers Union, which represents 160,000 of Royal Mail’s 200,000 staff, is concerned about plans for a John Lewis-style partial privatisation of Royal Mail, which is being touted by the operator’s management.
It supported Labour in the general election after winning a manifesto commitment to keep Royal Mail “publicly owned”, but now fears it has been betrayed by senior ministers. Billy Hayes, CWU general secretary, said: “We will fight any attempt to sell off or screw up Royal Mail. The CWU values our link to the Labour party . . . but I have no illusions about how that link will crumble if the government breaks its promise.”

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DTI sets up review of UK Royal Mail’s future in the free market

Alan Johnson, the Secretary of state for Trade and Industry, is to appoint a special committee to review Royal Mail’s future. Mr Johnson is considering potential candidates to chair the committee, and an official announcement is expected within a fortnight. The committee would consider the impact of competition, Royal Mail’s plans to improve profitability and the future of the Post Office network, a well-placed source said. The review, promised in the Labour manifesto, is a prelude to the postal market being fully opened to competition in 2006.

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Postwatch chairman Carr turns up heat on UK Royal Mail

Postwatch chairman Peter Carr has waded into the row over Postcomm’s pricing proposals, tongue-lashing Royal Mail for claiming the price- freeze would starve the company of cash. The watchdog maintains that the plans allow a minimum capital expenditure of GBP750m up until 2010. It claims, in fact, that Royal Mail will spend GBP40m less than its budget under the current deal. A Postwatch spokesman says: “Royal Mail is making an issue out of nothing. It is not being starved of investment. Quite the contrary, it has the freedom and the money.”

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