Changes come after a lengthy consultation and will help Royal Mail cut costs
A huge change to Royal Mail services has been announced. Royal Mail will be allowed to scrap Saturday deliveries for second-class post and switch to an alternate weekday service instead from later this month.
The regulator Ofcom said that from July 28, Royal Mail will be able to axe the six-day-a-week service for second-class letters. It will keep its Monday to Saturday deliveries for first-class post. Royal Mail is keeping the target for second-class letters to arrive within three working days, despite changing deliveries to every other weekday.
According to Ofcom, the changes come after a lengthy consultation and will help Royal Mail cut costs by between £250 million and £425 million a year. Royal Mail is not expected to push through the overhaul to all second-class letter deliveries across the UK from this month, but will look to roll it out having already launched pilots in 37 of its 1,200 delivery offices.
The watchdog said the changes were needed to help the industry “survive”, as people send far fewer letters and the cost of stamps has increased.
Natalie Black, Ofcom’s group director for networks and communications, said: “These changes are in the best interests of consumers and businesses, as urgent reform of the postal service is necessary to give it the best chance of survival.
“But changing Royal Mail’s obligations alone won’t guarantee a better service – the company now has to play its part and implement this effectively.
“We’ll be making sure Royal Mail is clear with its customers about what’s happening, and passes the benefits of these changes on to them.”
Ofcom has also launched a review of the price of stamps amid concerns over affordability. A consultation set to be launched next year. Martin Seidenberg, group chief executive of Royal Mail parent firm International Distribution Services (IDS), welcomed the move from Ofcom.
He said: “It is good news for customers across the UK as it supports the delivery of a reliable, efficient and financially sustainable universal service.
“It follows extensive consultation with thousands of people and businesses to ensure that the postal service better reflects their needs and the realities of how customers send and receive mail today.”
The changes come after Ofcom had already fined Royal Mail a combined £16 million for missing its post delivery targets in the previous two years.
It follows the recent £3.6bn takeover of Royal Mail owner IDS by Czech billionaire Daniel Kretinsky, which completed in June after being cleared by the Government at the end of 2024.
The Royal Mail increased the price of a first-class stamp on April 7. The 5p increase means people will have to spend £1.70 to buy a first-class stamp. The price of a second-class stamp increased by 2p to 87p on the same day.
Royal Mail has already hiked the cost of a first-class stamp five times since 2022, from 85p to £1.65. Nick Landon, chief commercial officer at Royal Mail said: “We always consider price changes very carefully but the cost of delivering mail continues to increase.”
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