Page last updated at 12:06 GMT, Saturday, 10 May 2008 13:06 UK

Plan to axe Saturday post denied

Postman
The future of the postal service is being reviewed

Postal regulator Postcomm has denied claims it is planning to advise Royal Mail to end deliveries on Saturdays.

The denial follows allegations the regulator is to recommend moving to a five-day delivery service as part of a review of the postal sector.

Postcomm said there was "no truth" in the suggestion, saying the "status quo is totally enshrined in law".

Royal Mail bosses have said they would oppose any proposals to cut deliveries on Saturday.

Postcomm issued the denial after the Daily Telegraph ran a story claiming it wanted to discontinue Saturday deliveries to help save money for Royal Mail.

The newspaper also claimed its recommendations would see fewer first class letters arrive the day after they were sent.

Submit evidence

Royal Mail has already stopped twice-daily deliveries in an attempt to boost the business.

This week, the company announced it had made an operating loss of £279m in the last financial year.

The loss has been attributed to the slump in the number of stamped letters being sent and competition from the private sector.

The Royal Mail's 350-year monopoly ended at the start of 2006, when other licensed operators were given the right to collect and deliver mail.

Postcomm is due to submit evidence to the government-instigated review by 19 May.

The first findings from the ongoing review, published this week, found that liberalising the UK postal service had produced "no significant benefits".




SEE ALSO
Fewer letters widen Mail's losses
08 May 08 |  Business
'Few benefits' from mail shake-up
06 May 08 |  Business
Royal Mail raises stamp prices
07 Apr 08 |  Business
Royal Mail pension plans rejected
19 Mar 08 |  Business
Ministers announce postal review
17 Dec 07 |  Business
Postal workers in Royal Mail deal
27 Nov 07 |  Business

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