In a Westminster Hall debate on Thursday 12th January Kate Osborne MP, who worked for Royal Mail for 25 years, highlighted that she had met the PPA this week to discuss the industry’s concerns. Going on to discuss Royal Mail’s regular citing of the fall in letter volumes as evidence for the need to change the USO, Osborne asked the responsible government Minister to confirm “if the USO is the financial burden it is being portrayed as” given the sharp increase in mailing costs.

The MP, who has represented Jarrow since 2019, asked Minister Hollinrake to confirm that any further evidence provided to Government by Ofcom will be more thorough than the previous 2020 Review of User Needs. She stated that many letters sent in the UK are non-USO mail [this includes Publishing Mail and the magazines mailed using Downstream Access providers] and that this mail is delivered jointly over the same network as USO mail.

Osborne went on to observe that non-USO mail includes important time-sensitive information such as letters from hospitals and HMRC, or communications from the police and legal documents, as well as highlighting the importance of time-sensitive magazines. She stated that the 2020 Ofcom Review of User Needs, often cited by Royal Mail – which found that five-day-per-week deliveries would meet 97% of residential and SME user needs – did not properly account for large business users and non-USO mail, and is therefore not a reliable review.

Seema Malhotra MP, Labour’s Shadow Minister for Business and Consumers (which includes the Postal Services brief) highlighted her party’s concerns about Royal Mail’s request to remove Saturday deliveries, including the importance of “magazine subscriptions where Saturday deliveries form part of those delivery models”.

Chris Stephens MP, the SNP Spokesperson for Levelling Up, also cited the impact of changes on the publishing industry, including the potential for cancelled subscriptions and lost advertising revenue. Labour MP Matt Rodda, Shadow Minister for Pensions, agreed with points about the delivery of literature, and also discussed the importance of Saturday deliveries for small businesses advertising their services. MPs noted their constituents’ concerns about Royal Mail’s poor quality of service: David Johnston, the Conservative MP representing Wantage, flagged complaints he has received about the slow delivery of magazines as well as missing bank cards and hospital appointment letters.

Responding to MPs views, the Government Minister attending the debate, Kevin Hollinrake MP, stated that the Government backs the six-day USO but emphasised it is facing challenges. He added that Government has yet to receive a convincing case for a need to change the USO to meet user needs and ensure its sustainability. Further, Hollinrake stated that any representations must first be made to Ofcom and he will then consider any evidence presented by the regulator.

Hollinrake also agreed that any further analysis by Ofcom must take into account the needs of large business users, specifically citing the impact on magazine publishers. The PPA will continue to engage with Royal Mail, MPs, Government, and Ofcom to ensure that publishers are able to sustain and grow their successful subscription businesses.