Postcomm consults on first licence for Consignia
29 January 2001
Postcomm, the postal services regulator, today published proposals for the first licence for Consignia, the successor company to the Post Office. Consignia will require a licence to continue delivering letters when the new regulatory regime comes into force on 26 March.
The principal features of the proposed licence include the following:
- Consignia must provide a universal postal service – the daily delivery and collection of mail at a uniform, affordable price -- throughout the UK;
- Royal Mail and Parcelforce (the parts of Consignia providing the licensed services) cannot increase the prices for most of their products without the prior approval of Postcomm;
- specified standards of service must be achieved, with improvements required over 2 to 3 years; and
- to enable customers to benefit through competition, Consignia must make arrangements for other postal operators to have access to its network of
postal facilities.
The Postal Services Act 2000 requires any postal operator conveying letters costing less than £1 per item and weighing less than 350 grams to be licensed from 26 March 2001. Other operators can also apply for licences to operate within this area.
Before granting any licence, Postcomm has a statutory responsibility to publish a notice bringing it to the attention of interested parties, including the Consumer Council for Postal Services. Postcomm seeks views on its proposals by Wednesday 28 February 2001.
Copies of the document, Licence for Consignia plc, a consultation document and notice, are available from Postcomm, 6 Hercules Road, London SE1 7DB.
