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Change how we charge for letters

09 Sep 2020, 12:44

Couldnt we go to mr regulator and ask if we could put a letters deliver surcharge on each addresses council tax bill? That would guarantee us an income and still be a universal price.

Stamps could be dispensed with and parcels could be charged like normal couriers do?

Change how we charge for letters

09 Sep 2020, 13:07

2yearpostie wrote:Couldnt we go to mr regulator and ask if we could put a letters deliver surcharge on each addresses council tax bill? That would guarantee us an income and still be a universal price.

Stamps could be dispensed with and parcels could be charged like normal couriers do?


We could, but it wouldn't be politically acceptable and the law would have to be changed to allow it.

Change how we charge for letters

09 Sep 2020, 15:18

why not just charge the dsa leeches the proper postage rates like we charge the public if the letters are going down whats to lose

Change how we charge for letters

09 Sep 2020, 15:36

hans solo wrote:why not just charge the dsa leeches the proper postage rates like we charge the public if the letters are going down whats to lose



You would be fined for using your position as a monopoly to force a competitor out of business.

The reason DSA companies don't pay full postage rates is because they enter the pipeline at a different stage than the average customer.

Hence the name.. Downstream Access.

Change how we charge for letters

09 Sep 2020, 19:26

Woody Guthrie wrote:
hans solo wrote:why not just charge the dsa leeches the proper postage rates like we charge the public if the letters are going down whats to lose



You would be fined for using your position as a monopoly to force a competitor out of business.

The reason DSA companies don't pay full postage rates is because they enter the pipeline at a different stage than the average customer.

Hence the name.. Downstream Access.

It is starting to look like, in the event of a no deal Brexit , that the UK will be able to intervene when business get into trouble such as when China was dumping poor quality steel into the market to lower prices. DSA was always a method of unfair competition and there is little difference in how they introduce their product into our mainstream leaving us to do the majority of the labour.

Change how we charge for letters

09 Sep 2020, 19:32

Celgar wrote:
Woody Guthrie wrote:
hans solo wrote:why not just charge the dsa leeches the proper postage rates like we charge the public if the letters are going down whats to lose



You would be fined for using your position as a monopoly to force a competitor out of business.

The reason DSA companies don't pay full postage rates is because they enter the pipeline at a different stage than the average customer.

Hence the name.. Downstream Access.

It is starting to look like, in the event of a no deal Brexit , that the UK will be able to intervene when business get into trouble such as when China was dumping poor quality steel into the market to lower prices. DSA was always a method of unfair competition and there is little difference in how they introduce their product into our mainstream leaving us to do the majority of the labour.


Nothing to do with Brexit. The state has always been able to intervene when businesess get into trouble.

Remember the bank bailouts?

Change how we charge for letters

09 Sep 2020, 19:39

Celgar wrote:
Woody Guthrie wrote:
hans solo wrote:why not just charge the dsa leeches the proper postage rates like we charge the public if the letters are going down whats to lose



You would be fined for using your position as a monopoly to force a competitor out of business.

The reason DSA companies don't pay full postage rates is because they enter the pipeline at a different stage than the average customer.

Hence the name.. Downstream Access.

It is starting to look like, in the event of a no deal Brexit , that the UK will be able to intervene when business get into trouble such as when China was dumping poor quality steel into the market to lower prices. DSA was always a method of unfair competition and there is little difference in how they introduce their product into our mainstream leaving us to do the majority of the labour.


It's unlikely that Brexit would be a factor.
Abusing a position of monopoly to drive out competition has always been part of UK law overseen by what was the Monopolies and Mergers Commission and is now the Competition Commission.

Change how we charge for letters

09 Sep 2020, 19:44

The ability to intervene and help businesses is currently one of the main sticking points in the Brexit talks along with fishing quotas and the power of the EU courts over UK law.

Change how we charge for letters

09 Sep 2020, 19:56

Celgar wrote:The ability to intervene and help businesses is currently one of the main sticking points in the Brexit talks along with fishing quotas and the power of the EU courts over UK law.


It's not. Boris Johnson already agreed to all this in the Withdrawal Agreement he signed and put through Parliament. It's legally binding as Johnson's Parliament ratified it.

The UK Govt just needs to decide if it agrees with it's own agreement.

Fishing yes, that's part of the trade talks, even though it's a miniscule part of the UK economy.

Change how we charge for letters

09 Sep 2020, 20:04

Celgar wrote:The ability to intervene and help businesses is currently one of the main sticking points in the Brexit talks along with fishing quotas and the power of the EU courts over UK law.


How exactly could you intervene and help Royal Mail with regards to DSA without simultaneously screwing over the DSA companies?
They're all companies,some of the DSA companies are UK owned, we're not really when you think about it. That would be an interesting dilemma for Government.

The headroom (the difference between what DSA companies pay and commercial rates) is fixed by the regulator. It is a reflection of the cost (with profit) DSA companies incur while entering the pipeline.

It is not as far as I'm aware something that RM has too much of a problem with as it has allowed the business to remove some of its own cost base in the shape of distribution, real estate and people costs.

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