Royal Mail has issued a set of 12 stamps to celebrate the world of Hornby Model Railways, a brand that has shaped British hobby culture for over a century.
Frank Hornby, the inventor of Meccano, produced his first clockwork Hornby Series trains in 1920. In 1929 the first models representing real British locomotives arrived.
Each stamp features an exclusive photograph of an iconic Hornby model, specially commissioned by Royal Mail.
Stamps in the set are:
1 locomotive, GNR (1920)
Princess Elizabeth, LMS (1937)
4MT tank locomotive, BR (1954)
AL1 electric locomotive, BR (1963)
InterCity 125 High Speed Train, BR (1977)
Merchant Navy class locomotive, BR (2000)
Bournemouth Belle Pullman cars, BR (2009)
Experimental ‘Hush-Hush’ locomotive, LNER (2021)
An additional four stamps presented in a vibrant miniature sheet celebrate the rich heritage of Hornby through four nostalgic designs, each featuring classic packaging, catalogue covers and promotional artwork from different eras.
The stamps are set against an illustration of a London, Midland and Scottish Railway (LMS) locomotive in full steam.
Royal Mail worked with renowned model railway historian and author, Pat Hammond, on the stamp issue.
David Gold, Director of External Affairs & Policy, Royal Mail,said: “Hornby trains entertained millions, preserved the romance of rail travel, and become a cultural icon of British design and imagination.
“Each of these stamps celebrates a piece of history, of Hornby’s craftsmanship and its role in British culture for generations.”
Martyn Weaver, Brand MD, Hornby, said: “To see Hornby Model Railways celebrated on Royal Mail stamps is a real honour.
“Hornby has been part of British life for more than a century, inspiring creativity, craftsmanship and a lifelong interest in railways and modelling. These stamps recognise the enduring appeal of model railways and the role the hobby continues to play in bringing people together across generations.”
Pat Hammond, Archivist to the Train Collectors Society, said: “The Hornby brand is over 100 years old and that is a major achievement. It is part of Britain’s heritage, and long may it be so.”
HORNBY RAILWAYS:
Hornby’s story began in 1920, when Frank Hornby, the inventor of Meccano, introduced his first clockwork Hornby Series trains.
These 0 gauge models, crafted from pressed steel, brass and tinplate, were twice the size of today’s 00 gauge scale. By the late 1920s, Hornby had launched electrically driven train sets and in 1929 introduced models based on real British locomotives. The iconic LMS Princess Elizabeth locomotive appeared in 1937, followed by the debut of the smaller 00 gauge system, Hornby Dublo, in 1938.
The introduction of plastic mouldings and a two-rail system marked a new era, and by the late 1970s Hornby was producing highly detailed models that appealed to both children and adult enthusiasts. Highlights included the British Railways High Speed Train (HST), released in 1977, which became one of the brand’s best-selling models.
Hornby continued to innovate into the 21st century, combining heritage with cutting-edge technology. From live steam locomotives and digital control systems to collaborations with beloved brands such as Thomas and Friends and Harry Potter, Hornby has remained a leader in model railways.
Today, the company boasts an extensive tooling stock and continues to create authentic, finely detailed models that celebrate Britain’s rich railway history.
The stamps, and a range of collectible products, are available to pre-order from today (12 February) at www.royalmail.com/hornby and by telephone on 03457 641 641. A Presentation Pack including all 12 stamps is priced at £21.30.
The stamps go on general sale on 19 February from Royal Mail and from 27 February in selected Post Office branches.
Due to the widespread disruption caused by Storm Floris, Royal Mail has confirmed that there will be delays to the delivery of SQA results in several parts of Scotland.
In particular, we (SQA) know deliveries to the Outer Hebrides, Orkney, and Shetland will be delayed due to the adverse weather. Further localised delays to deliveries may occur at short notice.
If any affected candidates wish to know their results, they should contact their school or college in the first instance who should be able to help them.
Alternatively, learners can submit an enquiry via the SQA website at:
and their query will be responded to by our team after 12 noon on Tuesday 5 August.
We are not anticipating any impact on the MySQA text and email service.
Over 147,000 young people will receive results today
SQA will offer a free appeals service and a dedicated advice line
Support and guidance are available to the tens of thousands of young people across Scotland awaiting the results of their SQA qualifications today.
Over 147,000 learners across Scotland will receive the result(s) of their SQA Nationals, Highers, Advanced Highers, and Skills for Work Awards on Tuesday 5 August. Learners completing National Progression Awards, National Certificates, and Awards are also certified on Tuesday 5 August and throughout the year.
All learners will receive a copy of their Scottish Qualifications Certificate delivered to their home address by first-class post, while everyone who signed up for and activated a MySQA account will also receive their results by text and/or email the same morning.
If learners do not receive their certificate with their post, they can contact their school, college or training provider, who can provide results and work with SQA to find out what has happened to the certificate.
Guidance and next steps
These results will allow young people to take the next step on their learning journey; either continuing at school, moving on to college or university, or entering employment or a workplace-based training programme.
Many of those receiving certification have completed vocational courses, qualifications, and apprenticeships in schools, colleges and other training centres, including Skills for Work Awards, National Progression Awards, and National Certificates, in areas ranging from Barista Skills and Beekeeping to Esports and Construction.
Stuart McKenna, Chief Executive of the Scottish Training Federation – which represents over 140 organisations operating in the field of work-based training across Scotland – explains the importance of vocational training and qualifications within schools, and the routes that can open-up to young people as a result:
“Vocational qualifications, awards, and apprenticeships offer young people an invaluable opportunity by combining education with practical experience.hese pathways open the door to further learning, career development, and employment by helping young people gain real-world skills that employers actively seek.
“With a strong emphasis on hands-on, experiential learning, these courses help young people understand the world of work, explore different industries, and build the confidence and skills they need to succeed in their future careers.”
Appeals service
SQA’s free appeals service opens at 9am on Tuesday 5 August and candidates can submit an appeal directly via the SQA website, or ask their school, college, or training provider to submit one on their behalf.
A senior marker will carry out a marking review of SQA-marked assessments, and a grade may go up, down, or stay the same. Learners are advised to speak to their teacher or lecturer before submitting an appeal.
Priority appeals are available for learners who have a conditional offer for a college or university place or for a training or employment offer.
These must be submitted to SQA by Tuesday 12 August or by Thursday 21 August if the learner’s school, college or training provider submits the appeal for them. All other appeals must be submitted by Tuesday 26 August or by Friday 29 August if the learner’s school, college or training provider submits the appeal for them.
Annette McKenna, Senior Operations Manager at SQA explains: “If you’re concerned about your results for National 5, Higher, or Advanced Higher, you can appeal your grade for free, but I’d encourage anyone considering this to chat with their teacher or lecturer first – they can help you think through your options and what’s best for you.
“Learners can be confident that the qualifications they’ve earned are fair and credible, reflecting the knowledge, understanding, and skills they’ve developed through their hard work.
“Similarly, colleges, universities, and employers can trust that the high standards and integrity of our qualifications have been upheld.”
SQA’s Candidate Advice Line will be available on Results Day from 8am to 6pm, then Wednesday 6 August to Friday 8 August from 8:30am to 5pm. The line can be reached on 0345 279 1000.
Skills Development Scotland’s expert advisers will also be on hand to offer guidance on course vacancies at colleges and universities, Confirmation and Clearing, Foundation, Modern and Graduate Apprenticeships, jobs, volunteering, or staying on at school.
Their helpline can be reached at 0808 100 8000 and will be open from 8am to 8pm on Tuesday 5 August and Wednesday 6 August. It will be open 9am to 5pm on Thursday 7 August and Friday 8 August.
Annette McKenna added: “I encourage anyone who has any queries or needs advice come Results Day, to call the helplines where dedicated members of staff will be happy to help and guide you.
“Remember, whether your achievements are what you expect, or not, there are many different routes available to shape your future success.”
More information is available on the Results Day pages of the SQA website
Ofcom sets Royal Mail new backstop delivery targets to protect people from long delays
Changes made to Second Class letter deliveries to protect the universal service
Ofcom to review affordability of post amid concerns over stamp prices
UK postal users will have extra protections against long delivery delays, under reforms to the universal service announced today by Ofcom, which will enable Royal Mail to improve reliability and support a sustainable service.
Why reform is needed
Since 2011, Royal Mail has been required under the universal service obligation to deliver First and Second Class letters six days a week. But in that time, the number of letters sent each year has more than halved. With fewer letters being delivered to each house on a given round, the cost of delivering each letter has increased, and Royal Mail has lost hundreds of millions of pounds in recent years.[1]
Urgent reform is needed for the universal service to survive. To put the service on a more sustainable footing, to prevent people from paying higher prices than necessary, and to push Royal Mail to improve reliability, Ofcom has today made changes to the obligations imposed on the company.
This follows public consultation with thousands of people and organisations – including consumer groups, unions, small businesses, public services, Royal Mail and the wider postal industry, as well as postal users directly – from right across the UK.
We have also launched a review of pricing and affordability, which will consider concerns that many people and organisations have raised about stamp prices. We plan to consult on this next year.
Natalie Black, Ofcom’s Group Director for Networks and Communications, said:“These changes are in the best interests of consumers and businesses, as urgent reform of the postal service is necessary to give it the best chance of survival.
“But changing Royal Mail’s obligations alone won’t guarantee a better service – the company now has to play its part and implement this effectively. We’ll be making sure Royal Mail is clear with its customers about what’s happening, and passes the benefits of these changes on to them.
“As part of this process, we’ve been listening to concerns about increases in stamp prices. So we’ve launched a review of affordability and plan to publicly consult on this next year.”
What reform will deliver
Our research suggests that affordability and reliability are more important to people than speed of delivery, but they value having a next-day service available for when they need to send the occasional urgent item. Royal Mail will therefore continue to be required to deliver First Class letters the next working day, Monday to Saturday, and there will continue to be a cap on the price of a Second Class stamp.
However, people have told us that most letters are not urgent, and they do not need six days a week delivery for the majority of letters. So, from 28 July, we will allow Royal Mail to deliver Second Class letters on alternate weekdays – still within three working days of collection – Monday to Friday.[2]
We estimate Royal Mail could realise annual net cost savings of between £250m and £425m with successful implementation of this change, enabling it to invest more in improving its delivery performance. We have told Royal Mail to hold regular meetings with consumer bodies and industry groups to hear about the experiences of people and businesses as it implements these changes.[3]
Our research also shows that small reductions in Royal Mail’s delivery targets would continue to meet people’s needs. Maintaining the current targets – which are more stretching than comparable European countries – would carry higher costs which would need to be recovered through higher prices.
So, we are making small changes to Royal Mail’s existing delivery targets – for First Class mail from 93% to 90% delivered next-day, and for Second Class mail from 98.5% to 95% delivered within three days. These new targets are high by international standards.[4]
However, many people have experienced long delays where letters have taken weeks to arrive.
To address this issue, we have set Royal Mail new enforceable backstop targets so that 99% of mail has to be delivered no more than two days late.
The Greeting Card Association-backed petition calling for MPs to scrutinise changes to the postal service has reached 10,000 signatures – crossing the threshold which mandates a response from government.
Milestone reached as Ofcom consultation deadline on reforms looms and Royal Mail raises stamp prices again on Monday 7 April
The Greeting Card Association’s campaign to keep the Royal Mail service reliable, national and affordable, has received a significant boost as its parliamentary petition reached 10,000 signatures.
Despite Royal Mail’s claims that it should be allowed to reduce second class postal deliveries to as few as two days per week and cut Saturday deliveries altogether, over 10,000 UK voters have now joined the GCA’s call for proper parliamentary scrutiny of any proposed changes.
This petition, which also calls on MPs to regulate the price of first-class mail and mandate the Royal Mail meet existing delivery targets before changing the Universal Service Obligation (USO), now must receive a formal response from the government.
And the crossing of the 10,000-signature threshold is timely – the Royal Mail’s regulator Ofcom is currently consulting on those proposed changes setting a 10 April deadline for responses but has made it clear it can make changes to the USO without any involvement from MPs[1].
The posts highlight the concern caused by the current uncertainty over Royal Mail’s ownership and the threat to the price and reliability of the postal service if they are allowed to dilute the service.
Royal Mail has failed to meet delivery commitments outlined in the current USO since 2022 but has consistently raised prices. A first-class stamp is now 75 per cent more expensive than three years ago offsetting the £15m-plus fines levied by Ofcom on Royal Mail for missed delivery targets.
The cost of a first-class stamp price is up a staggering 170 per cent over the last decade, and the price rise that takes effect on Monday (7 April) when the price rises to £1.70, will be the sixth in under three years.
GCA members believe the proposed weaking of the USO will lead small businesses and consumers to rely on an increasingly unaffordable, uncapped and unregulated first-class service to ensure cards and important letters are delivered on time.
The GCA, which represents over 500 publishers, retailers, agents, specialist suppliers and distributors that make up an industry worth over £1.5bn to the UK economy now awaits the government’s official response to its petition.
Amanda Fergusson, chief executive of the GCA said: “Our members are deeply concerned that they’re being railroaded into accepting reforms that will make the Royal Mail service they depend on, less reliable and affordable.
“We now look forward to receiving a formal government response to their petition.
“We know a postal service that’s a mere shadow of the service Royal Mail should be delivering, will cause real damage to small businesses, consumers, high streets and communities.”
It calls on the Government to amend legislation to require parliamentary scrutiny of any change to the Royal Mail’s Universal Service Obligation (USO).
It also asks the government to insist any changes to the USO are dependent on:
Royal Mail meeting existing performance delivery targets for letters and cards
New regulation for the price of first-class mail to avoid further above-inflation rises and
Royal Mail maintaining a national, affordable, and reliable postal service that supports high streets and communities across the UK.
UK Government reaches legally binding agreement with EP Group that protects Royal Mail’s workers and key services whilst keeping it headquartered in the UK
Business Secretary reaches agreement with Royal Mail’s prospective new owners after in latest example of government working hand in hand with private sector to improve crucial public services.
Agreement backs Government’s Plan for Change, creating the strong foundations needed in Britian’s supply chain to kickstart economic growth and deliver for workers.
Deal protects workers and key services whilst seeing Royal Mail continue to be headquartered in Britain, securing jobs and tax receipts in the UK.
The Business Secretary, Jonathan Reynolds, has today [16 December] received legally binding commitments from Royal Mail bidder Daniel Křetínský that are intended to secure the long-term, sustainable future of Royal Mail whilst protecting crucial services for millions of customers across the UK.
This significant agreement, between the Department for Business and Trade and Daniel Křetínský’s EP Group, contains commitments that protect, and secure investment in, Royal Mail’s postal network which is important to everyone from small business owners in Southampton to online shoppers in Shetland.
These commitments deliver on the Government’s Plan for Change, kickstarting economic growth by providing stability to a national institution that strengthens the foundations of Britain’s domestic supply chain and delivers better public services to people across the whole country.
Business Secretary Jonathan Reynolds said:“For too many years progress on securing a stable future at Royal Mail has stalled, but from day one we have been committed to providing a secure future for thousands of workers and customers.
“Today’s agreement is yet another example of this Government’s commitment to working hand in hand with business to generate reform give respite to people right across the UK, as we are working towards ensuring a financially stable Royal Mail with protected links between communities other providers can’t reach.
“I’d like to thank EP Group and Daniel Křetínský for their constructive approach to our discussions and their commitment to protecting this national icon. I look forward to working with them to fix the foundations and ensure Royal Mail continues to deliver for the communities and businesses who rely on it most.”
Recognising the importance of Royal Mail as an iconic national institution, the government has negotiated a ‘Golden Share’ which will ensure that, with very limited exception, the headquarters of Royal Mail cannot be moved abroad and that Royal Mail cannot change where it pays its taxes, in either case without UK government approval.
These restrictions will apply to any future owners of Royal Mail and, alongside other commitments to the brand and cypher, secure Royal Mail’s identity as an iconic British institution whilst also allowing it to operate as a fully private company without day-to-day government interference.
EP Group have also committed to honour any new agreements entered into with the postal unions, recognising that workers should be placed at the heart of a sustainable Royal Mail.
After months of constructive engagement, these legally binding commitments were voluntarily offered by EP Group in recognition of the significant contribution that Royal Mail makes to Britain’s national identity and the importance that it has in everyday life in the UK.
EP Group Chairman Daniel Křetínský said:“EP Group is very pleased to have reached this historic agreement with the Business Secretary to safeguard the future of Royal Mail, under EP Group ownership.
“We would like to thank the Business Secretary for the constructive negotiations that have resulted in unprecedented commitments and undertakings that demonstrate the high regard EP Group has for Royal Mail as an institution, the service it provides to millions of UK homes and businesses, and Royal Mail employees.
“EP Group is a long term and committed investor with a mission to make Royal Mail a successful modern postal operator with high quality service and products for its customers. We look forward to delivering on this mission alongside our partners in government.”
Millions of small businesses and consumers across the country rely on Royal Mail for everything from magazines to medicine deliveries, which is why protecting its future following any takeover is critical.
The commitment we have offered include significant financial safeguards including assurances around financial investment and restrictions on value extraction linked to the financial strength of the Royal Mail business and the achievement of specific service level standards.
Today EP Group has also announced that it has reached negotiators’ agreements with the unions representing Royal Mail’s workforce.
The Government welcomes the negotiators’ agreement and is confident that the constructive and collaborrative approach between the unions and the buyer can represent a restart for Royal Mail.
Postal Services Minister Justin Madders said: “We have agreed these commitments with EP Group with the intention of securing the best outcome possible for Royal Mail’s customers, incentivising high performance and protecting the important services communities rely on.
“Royal Mail’s workers will also play a crucial role in getting the company back on track, and I’m pleased that EP Group and the CWU have worked quickly to reach an agreement on their part in the takeover.
“A sustainable Royal Mail is a successful Royal Mail, and through this agreement we’re paving the way towards a brighter future where it can be a source of national pride once again.”
Communication Workers Union General Secretary Dave Ward said: “We are pleased to have reached a negotiators settlement with EP Group covering crucial areas such as job security, the governance of the company, a meaningful stake in the business for employees, restoring quality of service, legally binding commitments and improving the terms and conditions of our members.
“This agreement provides the foundation to rebuild Royal Mail. These have been challenging negotiations but through the support of our members we have delivered what by any measure is a groundbreaking agreement which puts postal workers and customers back at heart of everything Royal Mail does.”
ROYAL MAIL GROUP TAKEOVER BID – NEGOTIATORS AGREEMENT REACHED BETWEEN CWU AND EP GROUP
Dear Colleagues
Further to last week’s national briefing, CWU branches, reps and members would have seen this morning’s announcements setting out that EP Group and the government have reached agreement on a deed of undertaking, which contains legally binding guarantees from EP Group over the future of Royal Mail.
In light of this development, CWU is pleased to announce that we have reached a groundbreaking negotiators agreement with EP Group, subject to ratification by our Postal Executive.
The key parts of the agreement covers:
•Job security commitments and new legally binding commitments to employees
•Agreed principles on resolving a range of outstanding issues
•The introduction of a radical new governance and business model
•A meaningful stake in the business for employees
•Restoring quality of service •improving the terms and conditions of our members.
•A commitment to a new plan to grow the business
•A complete re-set in employee and industrial relations.
Ultimately the CWU will always campaign for Royal Mail to be returned to public ownership – but the reality is once it became clear the government would support this takeover – our role as a trade union was to do everything possible to protect our members.
Whilst many will fear Royal Mail falling into the hands of a foreign equity investor, the truth is every postal worker knows the status quo is what will kill off postal services in the UK. The Royal Mail Group Board have been running the company into the ground over a sustained period and in the process have completely alienated their own workforce. It is time for a fresh start and a complete re-set of employee and industrial relations.
At this stage, the transaction is not completed and still has some formal stages to go through which include:
•Clearance under the national security act
•Clearance under European regulations
•Shareholders vote
It is likely that all of these processes will be cleared in the first quarter of 2025.
NEXT STEPS FOR CWU
Subject to the document being cleared by our Postal Executive, we will be putting together a comprehensive engagement package this week including briefings for our branches, reps and members.
ST Mary’s Episcopal Cathedral in Palmerston Place are delighted to announce that they feature on Royal Mail’s Second Class Christmas postage stamp this year!
CHRISTMAS stamps for 2024 from Royal Mail feature original illustrations of five UK cathedrals: St Mary’s Episcopal Cathedral, Edinburgh; St Patrick’s Cathedral, Armagh; Liverpool Cathedral; St Deiniol’s Cathedral, Bangor; and the RC Westminster Cathedral.
The Royal Mail’s director of external affairs and policy, David Gold, said at the launch: “Cathedrals are a hugely significant part of our cultural heritage and play an important role in local communities.
“They also offer space for peaceful reflection and a bit of an escape from the challenges of daily life, which can be especially important at Christmas.”
Designed by the British artist Judy Joel, the stamps were revealed for the first time today – 5 November.
Royal Mail described the five buildings as “some of the most spectacular cathedrals in the UK”, highlighting the first, Edinburgh, designed by Sir Gilbert Scott and consecrated in 1879, as “boldly harking back to upwardly soaring medieval Gothic cathedrals, with its three spires dominating Edinburgh”.
Royal Mail worked closely with Janet Gough, formerly director of cathedrals and church buildings for the Church of England, and an authority on historic churches.Ms Gough said: “These special stamps are a reminder that, for centuries past, cathedrals have provided sanctuary, community, joy, and wonder at the birth of Christ”.
“And they continue to do so today, standing at the very heart of our cities. All the UK cathedrals will be open over Christmas, ready to welcome people of all faiths and none. For services, prayer, and celebration, to find peace, or to enjoy the splendour of their music, architecture, and treasures, visit a cathedral this Christmas.”
The stamps, together with a range of collectibles, are now on sale.
Ofcom calls for national debate on future of UK’s postal service, as letter volumes halve since 2011
Options for reform include changing letter delivery speed or days, as other countries have done, but not downgrading delivery targets
Second Class stamps will remain affordable option as price cap continues
The universal postal service risks becoming unsustainable as people send fewer letters and receive more parcels, meaning reform is necessary to secure its long-term future, according to evidence set out by Ofcom today.
Postal services and postal workers remain essential to those who rely on them. Eight in 10 people (79%) say some things will always need to be sent by post. And three quarters of those who use postal services (74%) say they rely on the post for letters.
However, while Royal Mail’s obligations have not changed since 2011, letter volumes have halved and parcel deliveries have become increasingly important. Given the significant cost to Royal Mail of delivering the universal service, there is an increasing risk it will become financially and operationally unsustainable in the long term.
Given these challenges, Ofcom is today inviting views on a range of options for redesigning the universal postal service to secure its future, while ensuring it reflects the way people use it. Under any scenario, Royal Mail must modernise its network, become more efficient and improve its service levels.
Ofcom’s research shows that people want to get what they pay for. But people are not currently getting a reliable service because of Royal Mail’s recent poor performance, for which Ofcom fined the company £5.6m last year. We will continue to hold Royal Mail to account and expect it to turn things around as a matter of urgency.
Options for reform
At this stage, we are not consulting on specific proposals to change the universal service obligation (USO). Some of the options, which are detailed in full in our document, would require Government and Parliament to change primary legislation, while others could be made through changes to our regulations.
The two primary options we have set out are:
Making changes to existing First and Second Class and business products so that most letters are delivered through a service taking up to three days or longer, with a next-day service still available for any urgent letters.
Reducing the number of letter delivery days in the service from six to five or three. This would require Government and Parliament to change primary legislation.
Ofcom estimates that Royal Mail could achieve a net cost saving of £100m-£200m if letter deliveries were reduced to five days; and £400m-£650m if reduced to three days. If the large majority of letters were delivered within three days, it could achieve net cost savings of £150m-£650m.
Downgrading delivery targets is not an option for reform. In fact, it will be important to consider whether additional safeguards are necessary to ensure people’s needs are fully met. Any changes must improve existing levels of reliability.
Changing the specification of the universal service is likely to be preferable to using a subsidy to maintain the existing levels of service and products, given it no longer aligns with the way people use it; although this would ultimately be a decision for Government.
What do postal users want?
Fewer delivery days could still meet most people’s needs, according to what postal users have told us. Nine in 10 people (88%) say reliability is important for letter deliveries, compared to 58% for delivery on Saturdays (down from 63% in 2020).[7]
Most participants in our research were also open to reducing some services and standards – particularly for letters – in the interests of keeping prices down and only paying for what was required. Similarly, there was strong acknowledgement that most letters were not urgent, but people still needed to have a faster service available for the occasional urgent items, even if that meant paying a premium for it.
The UK is not alone in needing to respond to these challenges. Across Europe and more widely, universal postal service obligations have been, or are being, reformed. Other countries have reduced the frequency of delivery or extended delivery times for letters – including Sweden in 2018, Belgium twice since 2020, and Norway and Denmark twice each since 2016.[
Dame Melanie Dawes, Ofcom’s Chief Executive, said:“Postal workers are part of the fabric of our society and are critical to communities up and down the country. But we’re sending half as many letters as we did in 2011, and receiving many more parcels. The universal service hasn’t changed since then, it’s getting out of date and will become unsustainable if we don’t take action.
“So we’ve set out options for reform so there can be a national discussion about the future of universal post. In the meantime, we’re making sure prices will remain affordable by capping the price of Second Class stamps.”
Next steps
Ofcom is inviting views from interested parties by 3 April 2024 on their analysis and the options for reform, to understand the potential impact on people and businesses. This includes vulnerable people, those in rural and remote areas of the UK’s nations, as well as large organisations who use bulk mail services.
We will hold events in the coming months to discuss the evidence and options, bringing together a range of people and organisations with different perspectives. After carefully considering the feedback, we will provide an update in the summer.
Capping Second Class stamp prices
To make sure the universal service remains affordable, Ofcom periodically reviews whether stamp prices should be capped. In doing so, we must consider the impact of any cap on the financial sustainability of the universal service. We set our last cap in 2019 and have reviewed prices for the period April 2024 to March 2027.
Royal Mail continues to be the UK’s only door-to-door deliverer of letters on a national scale. This means we cannot rely on competition to ensure prices remain affordable.
Postal workers union CWU Deputy General Secretary Postal Martin Walsh told BBC Radio 5 yesterday that the OFCOM report ‘has turned into a shambles’.
“This OFCOM report is dead before it even comes out tomorrow. We need a proper debate on postal services that actually involves the people that keep it going – our members.”
General Secretary @DaveWardGS on Radio 5 this morning responding to the OFCOM report: “The regulator have no credit whatsoever. There is no chance postal workers of the customers will accept a 3 day USO or manipulation of the products to avoid legislation.
General Secretary @DaveWardGS on Radio 5 this morning responding to the OFCOM report.
The regulator have no credit whatsoever. There is no chance postal workers of the customers will accept a 3 day USO or manipulation of the products to avoid legislation. pic.twitter.com/yq4YbGjIAt
Ofcom has fined Royal Mail £5.6m for failing to meet its First and Second Class delivery targets in the 2022/23 financial year.
Under Ofcom’s rules, each year 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, and complete 99.9% of delivery routes for each day on which a delivery is required.[1]
In 2022/23, Royal Mail’s reported performance results showed that it had only delivered 73.7% of First Class mail on time and 90.7% of Second Class mail on time, and completed 89.35% of delivery routes for each day on which a delivery was required.
Ofcom can consider evidence submitted by Royal Mail of any exceptional circumstances that may have explained why it missed its targets. Even after adjusting Royal Mail’s performance for the impact of industrial action, extreme weather and the Stansted runway closure, its First and Second Class performance was still only 82% and 95.5% respectively.[2]
This means that Royal Mail breached its obligations by failing to meet its targets by a significant and unexplained margin. This caused considerable harm to customers, and Royal Mail took insufficient steps to try and prevent this failure.
So we have decided to impose a fine of £5,600,000 on Royal Mail. The penalty includes a 30% reduction from the penalty we would otherwise have imposed, which reflects Royal Mail’s admissions of liability and its agreement to settle the case. The financial penalty is payable to HM Treasury within two months.
Ian Strawhorne, Ofcom Director of Enforcement, said: “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.
“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.”
Prioritisation and issues in the operation of delivery offices
As part of our investigation, we considered concerns about how parcels and letters might be prioritised for delivery.
In the evidence we assessed, we did not identify any suggestion that Royal Mail’s senior management had directed the prioritisation of parcels over letters outside of recognised contingency plans, such as during the pandemic and during the industrial action in 2022/23.
However, we are concerned that Royal Mail appears to have insufficient control, visibility and oversight over local decision-making at certain delivery offices where high absence and vacancies may have led to customer operations managers – who are responsible for individual delivery offices – making “on the day” decisions about what to deliver.
Given ongoing high absence and vacancies, and delays in bringing service levels back up, we are concerned about the operation of delivery offices, which we view as fundamental to Royal Mail meeting its delivery targets.
Royal Mail must ensure its customer operations managers are provided with appropriate training, so they are equipped to make such decisions. We will be keeping a close eye on the company’s performance this year, and the steps it is taking to return delivery offices to pre-Covid practices.
A non-confidential version of our decision will be published in due course.
Liam Byrne MP, Chair of the Business and Trade Committee, has called for Royal Mail to deliver changes to its operations on time, following news of the firm’s fine for missing post targets.
He said: “The Business & Trade Committee welcomes the robust action taken by Ofcom. In our report on Royal Mail, published earlier this year, we said that the company had systematically failed to deliver its statutory Universal Service Obligation, and called on Ofcom to investigate this issue.
“The Universal Service Obligation is not an aspirational target – it is a matter of pride for posties across the land, a crucial connection for people in isolated communities, and the cornerstone of Royal Mail’s contract with the public. Everyone in the UK must have access to a consistent postal service, no matter where they live.
“Royal Mail must make it clear how they will fix this issue and secure the future of the USO. Unlike its apparent approach to the public’s post, it is critical that Royal Mail’s future is delivered on time.”
Royal Mail responded: “We are very disappointed with our Quality of Service performance in 2022-23 and acknowledge Ofcom’s decision today.
“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.
“Quality of Service is extremely important to us. 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.”
After 31 January, ‘everyday’ stamps without a barcode will no longer be valid. So, if you can find your old ones, this is your last chance to use them.
SNP MP Deidre Brock has called on the Royal Mail to stop the threats of job cuts to postal workers and engage meaningfully with the Communications Worker Union to find an acceptable solution to prevent further postal strikes.
In a joint letter from SNP MPs to the Chief Executive Officer of Royal Mail, the Royal Mail Chief was told that it is “unacceptable to see the language employed by Royal Mail in threatening its workforce with job losses because they dare to ask for a fair work package.”
Postal workers across the UK are on strike again today, with several more strike days planned for early next month, from the 2nd of November to the 4th of November.
Last week, the Royal Mail’s announced its intention to slash 10,000 jobs, citing the strike action and low parcel delivery sales as the reason. Deidre Brock MP has described this move as a “tactic” and has accused Royal Mail of “acting in bad faith”.
Ms Brock added: “Postal workers across Edinburgh North and Leith are struggling to make ends meet in the face of soaring energy and food costs while Royal Mail shareholders benefit from bumper profits in the millions.
“Royal Mail staff and their families need financial security. The decision to strike will not have been easy for any of them, but this is about more than pay; it is also about protecting the postal service we all rely on and value.
“Rather than making threats to workers, Royal Mail need to get back to the negotiating table – in a meaningful way – and put our communities at the heart of discussions.”
