Post Office 'should dump' Royal Mail

[TrueBlueTerrier]

http://www.mirror.co.uk/advice/money/20 ... -20904668/

The Post Office should split from Royal Mail to prevent further sweeping branch closures.

That is the view of regulator Postcomm to give them both a better chance of survival in a cut-throat market. About 2,500 Post Office branches are being axed. Another 3,000 were saved when the Government renewed a contract for getting benefits at the counter.

Postcomm chairman Nigel Stapleton said: "The network may shrink further because of unplanned closures." But Billy Hayes, of posties' union CWU said the recommendation was "incompetent"

He said: "Royal Mail needs the Post Office to provide a universal service while the Post Office remains dependent on Royal Mail for about a third of its revenue."

[F0zziebear]

I expect this is what will happen eventually. THe Post Office was/is subsidised by Royal Mail. I say was because if RoyalMail Group want to become commercial then the Post Office is not worth having on it's books in it's current state. I say is as Royal Mail to this day cannot in some instances work out where to distribute the revneue between it's businesses.

RoyalMail Letters will probably become a fully commercial enterprise by 2013 (once the modernisation programme is completed). This will allow it to compete directly with TNT/DHL/UK Mail.

THe Post Office should remain in the public's hands, and the government should own all rural delivery offices.

The one price anywhere in the country formula will disappear under this proposal, but is currently still a political hot potato so won't come into being for several years.

[jacee]

I suppose this would lead to lots of imaginary revenue for both Royal Mail and the Post Office as they invoice backwards and forwards for services they provide for each other, which will end up conveniently missing or hidden when staff pay rises are being negotiated and glaringly visible when profits are declared for executive bonuses. Oh what a good idea, think they upstairs.

[dvbuk55]

The one price anywhere has been our downfall and it should disappear - does any of the competition have a one price fits all?

[TrueBlueTerrier]

Hopefully if this "Peoples Bank" idea, which Mandy will claim as his in his memoirs, I have no doubt, gains ground it may prove to be the saviour of the counters network and sub offices, well its a slim chance but a chance nevertheless.

What happens though if POL and RML split to the SPDOs, will POL charge ground rent for their use.

[BELIAL]

I
THe Post Office should remain in the public's hands, and the government should own all rural delivery offices.

Your full name isn't Fozziebear Stapleton by any chance ,is it?

[NWpostie]

stupid stupid stupid

They all should be integrated into one big company to cut out useless admin and a more integrated service, just like we were before the creation of Parcelforce, POCL and RM.

[DGP1]

stupid stupid stupid

They all should be integrated into one big company to cut out useless admin and a more integrated service, just like we were before the creation of Parcelforce, POCL and RM.

But if they're not seperate then they cannot sell them off to the lowest bidder. anyway they wouldn't cut the admin they'd just increase it (along with the management).

[Night Tonic]

No trace of cynicism then.