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Royal Mail has received approval to implement a significant alteration to its second class postal service beginning today.
The postal company has been permitted by Ofcom to cease delivering second class mail on Saturdays. Under the restructuring, Royal Mail will also only deliver second class post on alternating weekdays, rather than six days per week.
Royal Mail informed The Mirror that this change is currently being tested in a limited number of locations, following the initial announcement of these proposals in January this year.
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However, despite the diminished service, Royal Mail will maintain its commitment for second class letters to reach their destination within three working days.
When announced, the regulator Ofcom calculated that cutting second class deliveries would generate savings of between £250million and £425million for Royal Mail, reports the Mirror.
Beyond providing financial relief for Royal Mail, Ofcom stated the decision also reflected the declining volume of letters being sent to UK households. Letter volumes have dropped from 20 billion two decades ago to 6.6 billion currently.
Royal Mail has faced penalties exceeding £16million during the past two years for failing to meet delivery standards and subpar performance. First class mail will continue to be delivered six days weekly, Monday through Saturday.
Natalie Black, Ofcom’s Group Director for Networks and Communications, commented: “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.
“As part of this process, we’ve been listening to concerns about increases in stamp prices. So we’ve launched a review of affordability and plan to publicly consult on this next year.”
Martin Seidenberg, group chief executive of Royal Mail parent firm International Distribution Services, 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.”
This follows Royal Mail’s decision to increase first class stamp prices from £1.65 to £1.70 in April, whilst standard second class stamps rose from 85p to 87p.
It represented the sixth occasion stamp costs had risen within three years.
Charges for additional Royal Mail services – including “Signed For” and “Tracked” – also went up in April.
Royal Mail attributed the price increases to declining letter volumes.
