Ofcom is set to review the need for updates to the UK postal service, including potentially allowing Royal Mail to end Saturday post deliveries. The regulator will publish a report next week detailing options for how the postal service can “evolve to more closely meet consumer needs”. Ofcom has not commented on the specific options that will be outlined in the report.
The expected review comes after Royal Mail posted a £319m loss for the first half of this financial year and has been calling for urgent reform since 2020. The company has previously expressed a desire to transition from six-day deliveries to five days, from Monday to Friday.
Ofcom confirmed that the report will highlight evidence on how the universal postal service may need to change to better align with current usage. The legal basis for the service is the Postal Services Act 2011, which specifies that mail must be delivered Monday to Saturday. The Department for Business and Trade has said it currently has no plans to alter these minimum requirements, though it will consider the recommendations of Ofcom’s report.
While the review is still forthcoming, Martin Seidenberg, the CEO of Royal Mail’s parent company International Distribution Services, issued a trading statement earlier this week arguing that maintaining a network built for 20 billion letters when only seven billion were in use was unsustainable. Ultimately, any proposed changes will require the approval of the UK government and Parliament
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