Postwatch, the watchdog for postal services, welcomes the year’s notice that customers have been given of the fundamental change in the way Royal Mail postage will be priced. Postwatch and a cross section of British businesses, particularly direct marketers, campaigned for 12-months notice and acknowledge the postal regulator, Postcomm, has listened to their concerns.
As widely expected Postcomm is allowing Royal Mail to change its pricing structure. Instead of price being determined by just the weight of the item, from September 2006 postage will depend on size, thickness and weight. Judith Donovan CBE, Chairman of Postwatch Northern England, commenting on Postcomm’s announcement said: “It was essential customers be given 12-months notice of this important change in the way postage is priced. Even in the 21st century post remains one of the essential services and everybody will be affected by Postcomm’s decision.
“Large mailers understand what is proposed and how to take advantage, where possible, of the new pricing structure. But many large businesses, small and medium sized enterprises and domestic customers generally do not. The challenge for Royal Mail is to bring its whole customer base up to the same level of understanding.
Postwatch will be making sure they do. “It is a mistake to think that 70 per cent of mail will not be affected because the price is the same as before. The way customers decide on postage will change for 100 per cent of the mail they post. They will have to assess thickness, weight and size every time.”
Notes to Editors
1. The precise date, after the year’s notice, on which ‘Pricing in Proportion’ will be introduced, is for Royal Mail to decide. It is likely to be a date in early September 2006.
2. The introduction of Pricing in Proportion will affect the access price competing postal operators pay Royal Mail. It may therefore also affect the prices competing postal operators charge their customers.
