Public Affairs

Royal Mail fined for failing to meet delivery targets

Ofcom has issued Royal Mail with a fine of £5.6m after failing to reach its delivery targets in the 2022/23 financial year.

During that time Royal Mail delivered 73.7% of First-Class mail on time, and 90.7% of Second-Class mail on time. Under Ofcom’s rules, Royal Mail is required to deliver 93% of First-Class mail within one working day, and 98.5% of Second-Class mail within three working days.

Despite Ofcom adjusting Royal Mail’s performance based on the impact of ongoing industrial action, and extreme weather in the UK, their performance was still less than the required targets.

Ofcom is continuing to investigate possible changes to the Universal Service Obligation (USO) and is expected to consult on amendments in the new year.

The USO has been unchanged since its implementation under the 2011 Postal Services Act, however, the consumer demand for postal services has been ever-increasing.

The PPA continues to engage with Ofcom to stress the need to keep Saturday deliveries and improve the quality of services.

For more information on the USO, click here.

If you wish to discuss these issues further with our team, please contact natasha.anku@ppa.co.uk or eilidh.wilson@ppa.co.uk

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