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Royal Mail misses regulator’s delivery targets in spring
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Royal Mail misses regulator’s delivery targets in spring

Royal Mail delivered less than 80% of its first class mail on time in the first quarter, the company said on Friday, missing delivery targets set by the communications watchdog.

According to the company, 79.1% of first-class mail was delivered within one business day in the three months ended June 30.

It is yet another quarter in which Royal Mail has failed to meet delivery targets set by Ofcom.

According to the rules of the Communications Surveillance Service, 93% of first-class mail must be delivered within the specified time, with the exception of Christmas.

Royal Mail reported that 93.5% of First Class letters were delivered within two days. That’s a slight improvement on the same period last year, when 91.6% of First Class mail was delivered within that time.

Royal Mail also missed its 98.5% target for delivering second class mail within three days, with only 94.1% delivered on time.

In May, Ofcom said it was investigating the postal service after it failed to meet delivery deadlines for the year to March 2024.

The regulator fined the company £5.6 million after it failed to meet its targets for first and second class deliveries in the financial year ending March 2023.

The postal company is currently being taken over by Czech billionaire Daniel Kretinsky for £3.57 billion.

International Distribution Services, the parent company of Royal Mail, agreed in May to be acquired by Mr Kretinsky’s EP Group.

However, the deal is yet to be finalised as the Cabinet has initiated a review process on the bid under the National Security and Investment (NSI) Act.

Royal Mail said it had taken steps to improve delivery times, including hiring more permanent staff, introducing new rules to limit sick days and improving staff retention.

A so-called quality control center has also been set up to manage disruptions.

The company is adapting to declining letter volumes and growing demand for larger parcels and next-day deliveries.

This included cutting half of its domestic flights this year, with more mail now being transported by road, which is more reliable, has greater capacity for growing parcel volumes and is better for the environment, the company said.

Alistair Cochrane, Chief Operating Officer of Royal Mail, said: “Delivering a high quality service remains our top priority and I am pleased that this continued focus has delivered improvements during the quarter.

“We know there is still much to be done and will continue on this path, continually implementing changes to our operating model to deliver long-term improvements in the quality of our service.”