Summary of Of Coms report

This is a summary of Of Coms report

Delivering postal users’ needs in a digital age

· Royal Mail needs to become more efficient and modernise its parcel network

· New Ofcom research shines a light on changing attitudes to postal services

· Reducing letter deliveries to five days a week would still meet the needs of nearly all people and businesses

· But changing delivery requirements alone would not sustain the universal service in the long term

Ofcom is calling on Royal Mail to modernise its network and become more efficient, in order to sustain the universal service and keep pace with postal users’ changing needs.

The postal market has changed dramatically in recent years. The number of letters people send and receive has fallen by around 5% each year since 2015, as people increasingly rely on email and other online communications.

Growth in online shopping has seen overall parcel volumes increase at a rate of around 10% per year since 2015. And these trends seem to have accelerated during the coronavirus pandemic, with Royal Mail reporting a 31% increase in its UK parcel volumes between April and September this year.