Royal Mail is increasing prices for some of its mail contracts to help offset the impact of the decline in mail volumes and generate cost savings.
The operator today revealed plans to change contracts with its 31 Access customers, including changes to the rate it charges for final mile delivery. Access customers include other mail operators and large customers that partially sort their mail before handing volumes over to Royal Mail for final mile delivery.
The changes are due to come into effect on 31 March 2014, with increases between 0.3% and 1% to be added on top of Retail Price Index (3.1%) increases.
It will also be changing the price differential between its four delivery zones: London, urban, suburban and rural. It did not comment on how these areas will be priced.
Customers providing monthly volume forecasts for up to two years ahead will pay 25p less per item, which the recently privatised operator says will help it plan more accurately.
It said the changes are necessary to maintain the high cost infrastructure needed to fulfil its obligation to deliver to every address in the UK.
Stephen Agar, Royal Mail MD consumer and network access, said: “Our Access customers are responsible for around half of the mail we carry and we want to work with them to improve our planning and the generation of cost savings across our delivery network. The changes we are introducing will ensure Access customers can, where possible, share those benefits with us.”
