Ofcom to produce potential options for the future of the universal postal service

[POSTMAN]

https://www.ofcom.org.uk/news-centre/20 ... s%20centre

Ofcom is laying the groundwork for providing advice on how the universal postal service might need to evolve to better reflect the changing needs of postal users.

The universal service has been unchanged since the implementation of the current framework under the Postal Services Act 2011. However, consumer demand for postal services has changed substantially, and continues to do so.

So, Ofcom is gathering evidence on how the universal service might need to evolve to more closely meet consumer needs.

We will set out this evidence in detail later this year – explaining how demand is changing, the challenges and costs of delivering the universal service, potential options for change in the future and how these might be managed to ensure smooth transition to any future arrangements. We encourage input from interested parties after our publication.

It would ultimately be for the UK Government and Parliament to determine whether any changes are needed to the minimum requirements of the universal service.

What is the universal service?
The universal postal service requires Royal Mail to deliver letters six days a week (Monday to Saturday) and parcels five days a week (Monday to Friday) to every address in the UK, at affordable prices that are uniform throughout the UK. These minimum requirements are set out in legislation, and any changes to them can only be made by the UK Government and Parliament.

As the postal regulator, Ofcom’s job is to ensure that a universal postal service is provided, taking account of the need for that service to be financially sustainable and efficient. When making regulation, we must make sure we understand postal users’ needs.

We can also specify additional features of the universal service, such as requiring the choice of a First Class and Second Class service, and setting Royal Mail enforceable targets to deliver a certain proportion of items on time each year.

The last few years have demonstrated the importance of postal services, but the way people use them is changing, and we expect these trends to continue.

Letters remain important to many of us, particularly those who have difficulty relying on electronic communications and transactions. However, the number of letters we send and receive has declined by 46% over the last decade, as people and businesses increasingly use digital alternatives. And as the number of letters delivered each day falls, the average cost of delivery is increasing.

At the same time, parcel deliveries have become increasingly important to our daily lives and consumers’ expectations of them are changing.

What are we looking at and why?
The UK is not alone in seeing user demands change, with an increasing reliance on parcels and a decline in letter volumes. Many countries around the world are reviewing how their universal postal service should adapt in line with consumers’ needs, environmental concerns and the need to ensure that everyone is able to participate fully in society, while others have already scaled back the scope of their universal service.

Last year, we concluded our latest review of postal regulation, which set our regulatory framework for postal services from 2022 to 2027. Since then, there has been growing public debate around the long-term future of the universal service.
https://www.ofcom.org.uk/news-centre/20 ... -customers

We therefore believe that now is a good time to consider the longer-term future of the universal service, ahead of any future review of the regulatory framework.

As well as gathering input from a wide range of people and organisations across the UK, our review will draw on our existing monitoring work; our periodic review of users’ needs; our regular and one-off programme of consumer surveys; and international comparisons.

[enskied]

OFCOM falling for royal mail bollox.
No way reducing the USO to five days will help.

[youngoffender]

As a customer, I could swallow a five-day service if I could then be sure that our local DO (East Oxford) would provide it. But for weeks now we have had no postman on our walk at all, just a van dump every fortnight or so. And we have had nothing like a daily service since routes were first revised in November 2021. It would be meaningless to give Royal Mail a legal pass on Saturday deliveries when we have not had Saturday post for the best part of two years.

As I see it, the USO has not existed in practice post-pandemic, because Royal Mail have been allowed to get away with it by Ofcom's wet lettuce regulation.

[guardianangel]

As a customer, I could swallow a five-day service if I could then be sure that our local DO (East Oxford) would provide it. But for weeks now we have had no postman on our walk at all, just a van dump every fortnight or so. And we have had nothing like a daily service since routes were first revised in November 2021. It would be meaningless to give Royal Mail a legal pass on Saturday deliveries when we have not had Saturday post for the best part of two years.

As I see it, the USO has not existed in practice post-pandemic, because Royal Mail have been allowed to get away with it by Ofcom's wet lettuce regulation.

Absolutely spot on they have raped all the resources from the company and blamed everything and everyone but themselves,some people have become rich over the destruction of this private company and now the public will pay for a reduced service so those people can become richer,RM,ofcom and the government are all in it together,the thing that puzzles me most is we let them do it.

[hans solo]

It was pec and CWU National officers looking after themselves that put us in this position

[oypostie]

This stinks, OFCOM need about 8 / 9 months to produce a report on Royal Mails failures last year (a postman could tell them in 10 seconds) but they only need 4 months to produce all the options for the USO

[Surfpostie]

In bed together RM & Ofcom with CWU trying to get in bed with both. How long before the major jobs cull starts? It’s a farce

[dazzler123]

So this means RM are off the hook?

[hans solo]

And ward and co are encouraging them
If they showed any integrity both him furey and the pec should all resign corrupt bastards

[POSTMAN]

RM Communications

Ofcom looking at options for the future of the USO

Ofcom has today announced that they are looking at potential options for the future of the USO.
Ofcom has said they are gathering evidence on how the Universal Service might need to evolve to more closely meet consumer needs. We welcome Ofcom’s announcement and the recognition that the USO needs to reflect the changing needs of postal users.

We are proud to be the Universal Service provider and remain committed to providing an affordable and sustainable ‘one price goes anywhere’ service on a range of letters and parcels across the UK.

Letter volumes have fallen by more than 60% since their peak - from 20 billion in 2004/5 to 7 billion a year in 2022/3 - while the number of addresses has risen by four million in the same period. Ofcom’s own research in 2020 showed that a five-day (Monday-Friday) letter service would meet the needs of 97% of consumers and SMEs.

In November 2022 we made a request to Government for a change to a five-day letters service to reflect the structural decline in letters and changing customer preferences. Being required to provide a service that customers have said they no longer need, at significant cost to Royal Mail, increases the threat to the sustainability of the USO.

Later this year, Ofcom will set out evidence explaining how demand is changing, the challenges and costs of delivering the Universal Service, potential options for change in the future and how these might be managed to ensure smooth transition to any future arrangements.

We want to work with all stakeholders including Ofcom, Government, our unions and our customers to enable change quickly and to protect the long-term sustainability of the one-price-goes-anywhere Universal Service.

[POSTMAN]

https://www.cwu.org/wp-content/uploads/ ... GATION.pdf

LTB 225/23 - OFCOM REVIEW OF THE UNIVERSAL SERVICE OBLIGATION
No: 225/23
5th September 2023

TO: ALL POSTAL BRANCHES

Dear Colleagues,
OFCOM REVIEW OF THE UNIVERSAL SERVICE OBLIGATION

You will have seen the announcement this morning that the postal regulator, OFCOM have announced they are to undertake a review and subsequent consultation on the USO. The full details of the announcement can be read here... (1st post)

Royal Mail have responded here... (My post above)

The OFCOM announcement has been expected for some time and the response from Royal Mail is entirely predictable.
Attached to this LTB is the CWU press release. We encourage Branches to share this with local media outlets and briefings to members.
The Business Recovery, Transformation and Growth Agreement commits both parties to exploring where they maybe opportunities to approach the regulator jointly and examine the potential for expanding the role of postal workers.

The USO has been deliberately run down over a sustained period so that Royal Mail can create the environment for this debate to take place. The dismantling of the USO, destruction of quality of service and the ever-rising price of stamps is part of a strategy to accelerate letter decline. No responsible employer would take this approach.

The CWU is not against change. We have an extensive track record to prove this. We want this review to seek and take on board the views of our members who have witnessed first-hand the running down of the USO. We also want any outcome to be based not on potential shareholder profit but on the protection of the service, jobs, and the future of the company.

In the coming days and weeks, we will be launching an extensive engagement programme on the future of the USO with our own members. This will include live sessions, podcasts, workplace activity and reps’ briefings. We will also be meeting with and briefing politicians at all levels.
This debate is too important to leave to Royal Mail and OFCOM.
Yours sincerely

Dave Ward Andy Furey
General Secretary A/Deputy General Secretary (Postal)

Press release clean link...
https://www.cwu.org/wp-content/uploads/ ... elease.pdf

[olilew]

Expanding the role of postworkers? We can't fookin complete what we have to do now!

[Moose67]

What will happen to non drivers when this great idea is implemented I'm now wondering why I bothered striking everything they wanted they have now got

[pieoftheday]

Expanding the role of postworkers? We can't fookin complete what we have to do now!

Surely there's time to pop in on old Mr S Thompson to see if hes ok and give him his medication?

[BenacreNick]

RM are liars again.

They are not proud of the USO, they see it as a ball and chain round their neck.