Royal Mail has been hit with a whopping £5.6 million fine for failing to meet its delivery targets, it has been confirmed.
It comes following the completion of an Ofcom enforcement investigation.
The industry regulator was asked to investigate the country’s national postal service after it was referred by the Business, Energy, and Industrial Strategy (BEIS) Committee – which is a cross-parliamentary committee made up of MPs nationwide – back in March for a suspected breach of the universal service obligation (USO) requiring the company to deliver letters six days a week.
The committee said Royal Mail had “systematically failed” in its duty to deliver letters, and claimed to find the company had prioritised more lucrative parcels instead.
🚨 We have fined Royal Mail £5.6m for failing to meet its 2022/23 delivery targets by a significant and unexplained margin.
Delays caused considerable harm to customers, and we found insufficient steps were taken to prevent this failure.
Royal Mail is required to deliver 93% of first class mail within one working day, and 98.5% of second class items within three working days, while its target for completion of delivery routes is 99.9%.
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But following the investigation, Ofcom said that, for the 2022-23 financial year, the postal service’s reported performance results showed that it had only delivered 73.7% of first-class mail on time, and just 90.7% of second-class mail.
On top of this, the investigation found that only 89.35% of delivery routes were completed for each day on which a delivery was required.
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Ofcom said today’s fine of £5.6 million should serve as “a wake up call” for the company, and it must “take its responsibilities more seriously”, rather than relying on shifting the blame for its failures on to the aftermath of the pandemic and the several days of strike action by the Communication Workers’ Union (CWU) several strikes in 2022.
Royal Mail has been fined £5.6m for failing to meet delivery targets / Credit: Royal Mail
Ian Strawhorne, who is the Director of Enforcement of Ofcom, said in a statement today: “Royal Mail’s role in our lives carries huge responsibility and we know from our research that customers value reliability and consistency.
“Clearly, the pandemic had a significant impact on Royal Mail’s operations in previous years. But we warned the company it could no longer use that as an excuse, and it just hasn’t got things back on track since.
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“The company’s let consumers down, and today’s fine should act as a wake-up call – it must take its responsibilities more seriously.
“We’ll continue to hold Royal Mail to account to make sure it improves service levels.”
The committee’s inquiry took place amid a turbulent time for the Royal Mail when 112,000 of its staff -who were members of Communication Workers’ Union (CWU) – staged “the biggest strike of the summer” and several other subsequent walk-outs last year in a still-ongoing dispute over pay and the company’s modernisation plans.
The fine has been issued following an Ofcom investigation / Credit: Royal Mail
Addressing the issuing of the fine this morning, a Royal Mail spokesperson described the last year as “uniquely challenging” for the postal service, before going on to cite the strike action as being a reason for quality of service being impacted.
“We are very disappointed with our Quality of Service performance in 2022-23, and acknowledge Ofcom’s decision today,” the spokesperson said in a statement.
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“Last year was uniquely challenging for Royal Mail. Quality of service was materially impacted by the long-running industrial dispute which included 18 days of strike action. We are pleased that Ofcom has acknowledged that elements outside of Royal Mail’s control had a significant impact on service levels and has adjusted the figures to 82% for first class and 95.5% for second class mail.
“We take our commitment to delivering a high level of service seriously and are taking action to introduce measures to restore quality of service to the level our customers expect.”
Featured Image – Royal Mail
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Drama Call opening first-ever flagship shop in Manchester
Danny Jones
Streetwear superstars Drama Call are opening their new flagship store and first-ever permanent site in Manchester city centre this weekend.
Expect massive queues and lots turning up wearing the increasingly recognisable starry logo.
Already a much-loved brand not just here in 0161 but across the nation at large, the native independent business turned street-style favourites and UK fashion phenomenon are no strangers to HUGE pop-ups in their hometown.
However, they’ve never had a mainstay location anywhere in the country, let alone Greater Manchester – well, until now, that is…
Credit: Press shots (supplied)
Debuting in the Northern Quarter this Sunday, the venue located on Tib Street will effectively serve as Drama Call‘s new HQ.
The local label has done everything from popping up vans with Manc rapper Aitch to collaborating with Man United for multiple limited edition collections, so it only felt like a matter of time before they’d make a big brick-and-mortar splash in our fair city.
Most notably, they’re also taking over the same unit as the Sheep Shop, a former skate shop and legendary urban clothing tastemaker of the 90s; they were one of the first places in Britain to stock famous names like Stüssy, Supreme, Carhartt, The North Face and many more.
With that in mind, it feels only fitting that they carry on the trendsetting tradition from the same premises, and just spitting distance from the likes of Note, as well.
And that’s not all, either: before the full launch, they’ll also be holding an exclusive cash-only shirt swap event, where a limited number of certain collector’s items will be sold for as little as £10.
Other things to note are the additions of signed vinyls by homegrown artists such as the aforementioned Aitch and even The Smiths.
In fact, the store will also feature strictly Mancunian exclusives, too.
Everything from polo shirts and tees to branded mugs, matchboxes and other accessories will be available in-store only.
NQ is bound to be buzzing across launch weekend, with doors officially opening to the public on Sunday, and we wouldn’t be surprised if you see people camping outside the front well ahead of time.
What a moment the Manc shopping scene is having right now.
Featured Images — Publicity pictures (supplied via Pear)
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Andy Burnham explains why Number 10 North is so important as it officially ‘opens for business’
Emily Sergeant
Andy Burnham has explained his key reasons for launching Number 10 North as it officially ‘opens for business’ this week.
You may remember that earlier last month, Andy Burnham revealed he had intentions to create a Number 10 North if he was to become Prime Minister, with the new base expected to be a ‘dominant driver of the UK’s economy’ once it was officially up and running… and now, fast forward to today, Number 10 North is officially ‘open for business’.
Operating from Heron House in Manchester city centre, as previously reported on, Number 10 North will be the Government’s new ‘situation room for growth’.
It also brings the ‘levers’ of local economic growth and devolution together under one roof for the first time ever.
Number 10 North has officially ‘opened for business’ / Credit: gov.uk (via Wikimedia Commons)
With the Prime Minister expected to work from Number 10 North each week, so that decisions about the country’s economic future will no longer exclusively be made in Westminster, and with other ministers also working from there on a regular basis, the Government says the move underlines its determination to ‘do things differently’.
Now that Number 10 North has officially opened, Andy Burnham and his fellow ministers have explained why this move is so important for not just Manchester, but the north as a whole.
“For 40 years, power and resources have been sucked into the centre, and too many communities have felt forgotten, without the attention and investment they deserve,” explained Andy Burnham.
“Number 10 North will change that by putting more power into every postcode across the entire country. It will be the situation room for making Britain better, the place we use to get power out of Westminster, into the hands of people at a local level, so that they can turn things around.
“The days of Whitehall resisting devolution are over, for good.”
First Secretary Louise Haigh added: “Today marks a fundamental re-balancing of where power sits in our country. Number 10 North has been set up to drive economic growth in every postcode and put power in the hands of every community.