News

The UK Communication Workers Union said that it welcomes postal regulator Postomm's announcement that it is 'minded to' accept Royal Mail's request for additional allowed revenues, which would allow it to increase prices on bulk mail. However, CWU argues that more needs to be done to level the playing field in the postal market as current arrangements threaten the future of the universal service.



Dave Ward, CWU deputy general secretary, said: "This is, in reality, just a small step in what is a bigger picture. There's much more still to be done to create the level playing field that our industry needs.



"There is no doubt that the way regulation was introduced into the UK meant that Royal Mail was being set up to fail and that the universal service obligation (USO) would become unsustainable.



"New market entrants have had guaranteed profit margins at the expense of Royal Mail and the USO and this cannot be allowed to continue."



CWU believes that Postcomm has failed to protect the USO and that regulation has damaged Royal Mail's ability to deliver the six days a week, one-price-goes-anywhere service.