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Ofcom has revealed that Royal Mail has been fined £21m due to the late delivery of almost a quarter of first-class post. This hefty fine marks the third-largest ever issued by the communications watchdog. The investigation was initiated after Royal Mail failed to meet its delivery targets for both first and second-class post in the financial year 2024/25.
Ian Strawhorne, the director of enforcement at Ofcom, expressed concern over the delayed delivery of important letters, stating that customers are not receiving the service they paid for when purchasing a stamp. Royal Mail has responded by emphasizing their commitment to making continuous improvements to the quality of their service.
In the 2024/25 financial year, Royal Mail only managed to deliver 77% of First Class mail on time and 92.5% of Second Class mail, falling short of its 93% and 98.5% targets. This is not the first time Royal Mail has faced fines for delivery delays, with penalties of £5.6m in November 2023 and £10.5m in December 2024. Ofcom has warned that fines may persist unless Royal Mail promptly implements a credible improvement plan.
Despite Royal Mail’s proposal to deliver 85% of first-class post on time and 97% of second-class post last year, Ofcom noted that these targets have not been met. The watchdog insisted that tangible improvements are necessary to regain consumer confidence and criticized Royal Mail for its insufficient and ineffective attempts to meet delivery targets. Citizens Advice described Royal Mail’s track record as “woeful” and expressed doubts that fines alone would incentivize the company to enhance its service quality.
Under the universal service obligation (USO), Royal Mail is legally obligated to deliver letters six days a week and parcels five days a week to every location in the UK. Some areas have experienced changes since July, with second-class letters only being delivered on alternate weekdays instead of Saturdays, a modification proposed by Ofcom. Royal Mail acknowledged Ofcom’s decision and reiterated its commitment to improving the quality of its service through recruitment, training, and support in delivery offices
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