Friday 23rd Jun 2017 - Logistics & Supply Chain

Royal Mail wants review of Universal Postal Service

Royal Mail has called for a review of the Universal Postal Service to be brought forward from the planned start date of late 2015.

Moya Greene, chief executive of Royal Mail, made the call when she gave evidence to the House of Commons Business, Innovation & Skills Committee which is investigating competition in postal services.

Royal Mail argues that unfettered direct delivery competition means cherry picking easier-to-deliver routes, and will undermine the economics of the Universal Service without bringing clear benefits to consumers and businesses.

“We are asking the regulator to bring forward the planned review of direct delivery it has already committed to commence in late 2015, and put in place measures to address the threat it poses to the financial sustainability of the Universal Service,” Royal Mail said in a statement.

Royal Mail commissioned an online survey by Ipsos MORI which suggested that 89 per cent of adults in Great Britain value the six-day-a-week Universal Postal Service; and • 64 per cent of those aware of the industry regulator think it needs to take more action to protect the universal service.

Royal Mail’s argument was rejected by its competitors.  Nick Wells, chief executive of Whistl; and  Guy Buswell,  chief executive of UK Mail;  have both argued that current system is satisfactor

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