UNIONS last night condemned as “vandalism” moves by the postal regulator to bring forward the complete opening of the postal market by 15 months.
The move threatens the service under which customers pay one price to send a letter anywhere in Britain, the Communication Workers Union said. Under the proposal, licensed operators could deliver to residential and business addresses from January 2006, rather than from April 2007 as originally planned.
Billy Hayes, general secretary of the CWU, said that the Postcomm proposal amounted to “vandalism” and that it was in breach of the Postal Services Act and called on the Government to step in.
Dave Ward, deputy general secretary of the union, said: “This is nothing to do with public service. The service can’t improve if private firms are allowed to cream off its profits.”
Royal Mail, which has been criticised for sacrificing service to restore profitability, welcomed the proposal to open the market up faster than originally planned. But it appealed to Postcomm to lift restrictions it said would leave it at a disadvantage to rivals in Germany and the Netherlands that plan to enter the British market. Royal Mail argues that they will be able to target the lucrative business bulk mail service without having to support the cost of providing the universal service.
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Adam Crozier, chief executive, said that Royal Mail could succeed against competition but that the “handcuffs” had to come off. “There has to be careful licensing of new entrants to ensure customers’ interests are protected and to avoid a free-for-all.”