Small businesses and greetings card firms blast 'drastic' Royal Mail plan to ... trends now
Royal Mail has come under fire from small businesses and greetings card firms over plans to slash daily second-class letter deliveries.
The company revealed plans yesterday to scrap the deliveries on Saturdays and cut the service to just five times every two weeks.
But critics including the Federation of Small Businesses and The Greeting Card Association said the plans were 'too drastic' and a 'slap in the face for families'.
In its submission to Ofcom's consultation on the future of the universal postal service, Royal Mail said its proposals would see all non first-class letter deliveries reduced to save it up to £300 million a year but warned it could see 1,000 roles axed.
The plans include extending the delivery time for bulk business mail to three days instead of two.
Royal Mail has warned the changes could lead to 1,000 job losses (File Image)
Amanda Fergusson, CEO of the Greeting Cards Association (pictured), indicated the changes were not what businesses wanted
Tina McKenzie, policy chair of the Federation of Small Business (pictured) said axing daily second class deliveries 'would be a drastic cut'
But it would keep a six-day-a-week service for first-class mail in a climbdown on previous calls for all Saturday letter deliveries to be scrapped.
As of Tuesday, the price for a first-class stamp is £1.35, while the cost to purchase a second-class one is 85p.
Amanda Fergusson, CEO of the Greeting Cards Association, said the changes would 'ignore' the needs of the businesses Royal Mail represents.
She added: 'They expect a postal service that's national, reliable, and affordable and they're not getting it.'
Ms Fergusson also warned: 'We believe more price rises and service reductions will accelerate a decline in the British postal service, leading to increasingly frequent requests for bailouts.
'We are also concerned that there is no underpinned service recovery plans or evidence of meaningful progress to restore the Royal Mail service to legally required levels.'
Tina McKenzie, policy chair of the Federation of Small Business, said: 'Taking the axe to daily deliveries for second class would be a drastic cut which would hit the many small businesses which rely on it, and will in all probability leave some with no choice but to fork out for first class.
'However, Royal Mail's concession to retain a six-day-a-week service for first class letters is a good step in the right direction, compared to its original dire proposal – voiced via Ofcom - to torpedo daily deliveries altogether.
'The Government rightfully said it was committed to keeping the six-day service as it is, and that is something that would have required legislation to change.
Second class delivery would take place every other weekday. Pictured: Parcels and letters in post bags at the Royal Mail sorting office in Manchester
Critics including the Federation of Small Businesses said the plans were 'too drastic' (Stock image)
'We do recognise that savings need to be made, therefore the idea that bulk business mail, like bills and statements, will arrive within three working days instead of two is a difficult but sensible way to make savings
