In a significant regulatory move, Royal Mail has been fined £21 million by Ofcom for failing to meet its annual first and second class delivery targets—leaving millions of letters arriving late across the UK. This sanction represents the third-largest fine ever issued by the communications regulator, signalling growing frustration over the postal giant’s ongoing struggles to deliver reliable service.
According to Ofcom’s findings for the 2024–25 financial year, Royal Mail successfully delivered 77% of first class mail and 92.5% of second class mail on time. These figures fall well short of the statutory performance thresholds—93% for first class and 98.5% for second class—that the company is obligated to achieve under its universal service obligations.
Persistent failings under scrutiny
Ian Strawhorne, Ofcom’s Director of Enforcement, described the company’s repeated failings as “persistent” and “unacceptable.” He stated:
“Millions of important letters are arriving late, and people aren’t getting what they pay for when they buy a stamp. These persistent failures are unacceptable, and customers expect and deserve better. Royal Mail must rebuild consumers’ confidence as a matter of urgency. And that means making actual significant improvements, not more empty promises.”
This reprimand reflects ongoing public dissatisfaction with the postal service’s reliability, particularly during crucial periods such as bill deadlines, medical correspondence, and seasonal deliveries.
Royal Mail promises reform
In response, a Royal Mail spokesperson acknowledged the regulator’s findings, emphasising that the company is determined to improve service standards.
“We acknowledge the decision made by Ofcom today and we will continue to work hard to deliver further sustained improvements to our quality of service. A key area of focus and investment has been the detailed work ahead of full implementation of our new delivery model, enabled by Ofcom’s changes to the universal service.”
The company pointed to several operational reforms, including the recruitment and training of new staff, enhanced support for delivery offices, and the phased introduction of revised delivery schedules. Royal Mail further noted that trials of its universal service changes are already showing improvements in certain areas of the country.
Under new Ofcom-approved arrangements, Royal Mail will cease Saturday second class deliveries, shifting instead to a schedule that delivers every other weekday. However, first class mail will still be delivered Monday through Saturday, and second class letters will continue to be expected within three working days.
Looking ahead: Christmas surge preparations
This initiative will span two parcel hubs, four seasonal parcel sorting centres, and 37 mail centres across the UK. England will account for 12,000 temporary sorting roles, while Scotland will offer 2,000, Wales 600, and Northern Ireland 400.
With online shopping expected to surge during Black Friday, Cyber Monday, and the festive season, the company aims to reinforce its logistical network and restore public trust. Additional seasonal sorting offices are also planned to handle the expected increase in parcel volumes.
The Workers Union’s view
At The Workers Union, we recognise the immense pressure faced by postal workers who are often at the heart of these challenges. It is vital that Royal Mail’s drive to modernise and meet consumer expectations goes hand in hand with fair working conditions, adequate training, and support for its UK workforce.
Millions across the UK depend on timely and dependable mail services for essential correspondence, from small businesses dispatching goods to families sending important letters. Ensuring the sustainability of that service is crucial for both consumers and the employees who deliver it.
As Royal Mail continues its journey of reform, the spotlight will remain firmly fixed on whether its promises of improvement will translate into tangible results for households and businesses across Britain.
