New postal licence framework

[TrueBlueTerrier]

http://postwatchuk.blogspot.com/2008/01 ... ework.html

Postcomm, the regulator for postal services, today announced changes that will simplify procedures for licensing non-universal service operators. (The universal service is the geographically uniform postal service that is provided by Royal Mail.)

The changes described in today's document - Amendment of the 2006 licensing framework - include a reduction in application fees from £1000 to £50, which it is hoped will help encourage small businesses to enter the market, and the removal of the licence requirement on all licensees to have guarantees or contractual arrangements in place to ensure the delivery of mail if an operator fails so that, in future, other operators can respond directly to what the market demands, rather than to regulatory requirements.

[TrueBlueTerrier]

http://www.psc.gov.uk/policy-and-consul ... arket.html

In 2003, the postal market was first opened to competition. There are now 18 licensed operators in the market. Confidence in the postal market has been maintained as mail operators have broadly achieved high standards of service quality and customer focus. However, Postcomm has been sensitive to suggestions that licensing arrangements could do more to facilitate market entry for some small and medium sized potential mail operators – and therefore promote the development of choice and innovation for mail users.

In May 2007 we started consulting on proposals to move to a form of less prescriptive licensing for those seeking to enter the postal services market. In January 2008, we published our decision document, which detailed a number of changes to the application procedure, including:

* removing the annual fee for all licensees with a turnover of less than £10 million (licensees with a turnover of more than £10 million pay an annual fee based on their share of the market);
* reducing the application fee from £1,000 to £50 for all applicants;
* removing the requirement for applicants to provide, as part of the application process, information on exactly how they would comply with Postcomm’s mandatory mail integrity code, and
* removing the requirement for both existing licensees and future applicants to provide a financial guarantee.

The current licensing regime came into effect in January 2006. These latest changes form the first of a two stage licensing review. Taking forward the review in two stages has allowed Postcomm to deliver early improvements within the existing framework through stage one while focussing on more detailed changes in stage two.

These changes will not substantially affect Postcomm’s regulation of - or the requirements on - Royal Mail. As the UK’s dominant postal operator, with more than 90% of the mail market and provider of the universal postal service (which includes the ‘one price goes anywhere’ stamp and daily collections and deliveries for all UK addresses), the company must be subject to more rigorous regulatory requirements to protect the interests of customers.

[TrueBlueTerrier]

The following documents are available from:

http://www.psc.gov.uk/policy-and-consul ... arket.html

16 January 2008 - decision document
Amendment of the 2006 licensing framework. A decision document (pdf, 277KB)

16 January 2008 - modifications notice
Postal Services Act 2000. Section 14. Notice of proposal to modify the conditions of the USO licence and the standard licence and the DHL Express licence (pdf, 40KB)

16 January 2008 - news release
Postcomm announces simplification of licensing framework

16 January 2008 - standard licence & guidance for applicants
Postal Services Act 2000. Section 11. Standard licence (pdf, 282KB), Postal licence applications - guidance for applicants (pdf, 184KB)

16 January 2008 - consultation reponses
responses 1 (pdf, 97KB)
responses 2 (pdf, 66KB)
responses 3 (pdf 79KB)
Royal Mail response (pdf, 54KB)

18 May 2007 - consultation document
Amendment of the 2006 Licensing Framework (pdf, 217KB).

18 May 2007 - news release
Postcomm reviews current licensing rules.

24 March 2006 - revocation notice
Postal Services Act 2000, Section 11. Notice to revoke licences granted to various postal operators (pdf, 27KB).

24 March 2006 - news release
Postcomm revokes old licences

3 November 2005 - news release
Changes to long term postal licences

2 November 2005 - licence modification
Postal Services Act 2000, Section 14. Modification of conditions of a licence granted to the USO licence and the standard licences (pdf, 199KB)

2 November 2005 - decision statement
Postal Services Commission, decision statement. Modification of the conditions of the USO licence and the standard licences (pdf, 53KB)

22 September 2005 - consultation document
Postal Services Act 2000, Section 14. Notice of proposal to modify the conditions of the USO licence and the standard licences (pdf, 317KB)

22 September 2005 - news release
Postcomm to modify postal licences

16 September 2005 - application form and guidance notes
Form of application for licence under Section 11 of the Postal Services Act 2000 (pdf, 96KB)

8 August 2005 - decision document
Licences under the Postal Services Act 2000: Licensing framework in a fully open market. A decision document. (pdf, 529KB)

8 August 2005 - consultation responses
Responses to Postcomm's proposals for licensing framework in a fully open market (pdf, 2MB)

8 August 2005 - news release
Postcomm publishes licence arrangements for a fully competitive mail market

1 June 2005 - revised licence application form and guidance notes (pdf, 74KB)
These relate to licences under the new licensing framework, coming into effect on or after 1 January 2006. Applications under this framework can be made at any time. Applications for licences under the existing framework, with start dates before 1 January 2006, will be accepted until 30 August 2005. The new framework has not yet been finalised and applications will be accepted on the basis that, if any changes are made to the application process, applicants will expected to comply with these requirements. Similarly, if any changes are made to the draft licence, any licence granted to the applicant will be on these terms. Applicants are, of course, free to withdraw their applications in such circumstances.

19 May 2005 - proposals document
Licences under the Postal Services Act 2000: Licensing framework in a fully open market. A proposals document (pdf, 588KB)

19 May 2005 - news release
Postcomm proposes new licensing arrangements for postal operators

22 March 2005 - consultation response
Mr JR Yates (pdf, 13KB)

16 March 2005 - consultation responses
Association of International Couriers and Express Services (AICES) (pdf, 25KB),
Communication Workers' Union (CWU) (pdf, 1.8MB),
Diocese of Worcester (pdf, 13KB),
Direct Marketing Association (DMA) (pdf, 51KB),
DX Network Services Ltd (pdf, 32KB),
European Express Association (EEA) (pdf, 18KB),
Federation of Small Businesses (FSB) (pdf, 64KB),
Intercity Communications Ltd (pdf, 416KB),
Mail Competition Forum (MCF) (pdf, 71KB),
Mail Users' Association (MUA) (pdf, 35KB),
Periodical Publishers' Association (PPA) (pdf, 2MB),
Postwatch (2MB), response from Racer (pdf, 1.4MB),
Regional Mail Services (pdf, 3MB),
Royal Mail (pdf, 72KB),
TPG (pdf, 21KB),
UK Mail (pdf, 54KB),
Welsh Language Board (pdf, 35KB).

30 November 2004 - consultation document
Licences under the Postal Services Act 2000. Licensing framework in a fully open market. (pdf, 131KB)

30 November 2004 - news release
Postcomm proposes a licensing framework for the fully open market.

[POSTMAN]

Here's an e-mail i got from them.

"Postcomm is considering how, and to what extent, it should regulate Royal Mail from 2010 onwards, when its current price control is due to be replaced.

We want to begin by taking a 'top down' approach, based on what we have learned from our Strategy Review, before focusing on detail later on in the process. Most specifically, we want to consider whether adopting a different approach could allow a significant reduction in the scope of regulation, whilst maintaining sufficient protection for customers and operators in those areas where Royal Mail has substantial and enduring market power.

This initial letter, to all stakeholders, sets out a number of possible approaches and seeks feedback on the advantages and disadvantages of each of them. Also we would like to hear stakeholder views as to what other measures might be needed to ensure that a proposed approach would be effective.

Responses to this initial consultation should be sent to Postcomm by Friday 14 March 2008. Following this consultation, Postcomm will carefully consider responses, before publishing initial proposals for changes to the regulatory framework around June 2008."

And i've uploaded the pdf thing that was in the e-mail.

www.royalmailchat.co.uk/forum/images/postCON_letter.pdf

[POSTMAN]

[Broxi51]

I read somewhere that postcon was going to be reprimanded by the Government for poor decision making and that it would be amalgamated with other companies including postwatch. I f***ing well hope so because they are a disaster.

[DGP1]

This has been the government objective all along ie. to divide up Royal Mail then sell off the individual groups.

As for RM failing to meet efficiency targets, I'd like to know who came up with them because I'd let them know how wrong they are (that's as nice as I can make it)

[sevenandseven]

* removing the requirement for applicants to provide, as part of the application process, information on exactly how they would comply with Postcomm’s mandatory mail integrity code, and
* removing the requirement for both existing licensees and future applicants to provide a financial guarantee.

Isn't this a cowboys charter allowing anyone from one man and a van to enter the market without any proof they are capable of doing the job. Have they forgotten the debacle with the lost tax records and the insurance documents falling out of a van? And that was supposedly big companies. 10 million pounds a year this organisation costs. Brilliant.