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Outcry at three deliveries a week plan for post to cut 'unsustainable' costs

Evening Standard

|

January 24, 2024

POSTAL deliveries would be halved to three days a week to slash the "unsustainable" costs of running the service under radical proposals unveiled today.

- Jonathan Prynn & Rachael Burford

Outcry at three deliveries a week plan for post to cut 'unsustainable' costs

In one of the biggest potential shakeups of the Royal Mail since postal services began, regulator Ofcom outlined plans that could end the familiar daily visit from the postie.

Ofcom flagged up two main paths for a historic overhaul of the Royal Mail's hugely expensive "universal service" obligation which currently guarantees a six-day-a-week delivery service anywhere in the UK - in a bombshell document. The so-called "options for reform" outlined today go far beyond fears that only the Saturday delivery is at risk, something already firmly rejected by Rishi Sunak.

The two main proposals are reducing the number of delivery days to five, or even just three; and scrapping the current "next day" first class service to make way for a delivery service taking "up to three days or longer". Customers would have to pay more for a premium overnight service delivered by van rather than the morning postal round if they need a letter delivered the next day.

The document added: "We estimate that Royal Mail could achieve a net cost saving of £100 million to £200 million if letter deliveries were reduced to five days; and £400 million to £650 million if reduced to three days. If the large majority of letters were delivered within three days, it could achieve net cost savings of £150 million to £650 million.

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