POSTAL SERVICES REPORT DISCLOSES NEW THREAT TO POSTAL SERVICES   

 

SNP Westminster Postal Affairs spokesperson, Mike Weir MP, has seized on an interim report, commissioned by the UK Government, which concludes that the liberalisation of postal services has produced “no significant benefits” for either households or businesses, and the warns that there is a “substantial threat” to the universal service obligation.

 

Mr Weir, who gave evidence to the review, said:

 

“There is no satisfaction in saying I told you so, but these interim conclusions echo word for word the warnings we gave the UK Government on the impact of liberalisation on the sustainability of postal services.

 

“The whole policy of liberalisation has been an unmitigated disaster, and now Royal Mail’s financial security, and the universal service obligation are at risk.

 

“The universal service obligation is vital for Scotland , particularly for small businesses in rural areas. the very many small and medium enterprises in Angus would be particularly badly effected by any attempt to dismantle the universal service obligation or tarrif, or indeed to pursue the ludicrous policy of zonal pricing for business mail"   

 

“Liberalisation, has allowed European mail companies, some of which are state supported, to take a large part of the market when they do not face the same competition in their home markets. The UK Government must, at the very least, ensure that these companies make substantial contributions towards the cost of the universal service obligation.

 

“If Labour Ministers do not rethink their whole approach to Royal Mail, the drubbing they received in England and Wales last week will be as nothing to the thumping they will get from voters in Scotland.”

 

ENDS