Performance of Royal Mail Debate
Full Debate: Read Full DebateKate Dearden
Main Page: Kate Dearden (Labour (Co-op) - Halifax)Department Debates - View all Kate Dearden's debates with the Department for Business, Innovation, Science and Trade
(3 days, 20 hours ago)
Commons Chamber
The Minister for the Future of Work (Kate Dearden)
I congratulate my hon. Friends the Members for Redditch (Chris Bloore) and for Lichfield (Dave Robertson) on securing and leading this important debate and for their tireless campaigning on this issue on behalf of their constituents. I also thank all right hon. and hon. Members for their contributions. Even if, as the hon. Member for Horsham (John Milne) suggested, it may at times have been a therapy session, Members have raised extremely important concerns on behalf of their constituents about the quality of service. We discussed this issue at length last week, and the shadow Minister, the hon. Member for Bromsgrove (Bradley Thomas), referenced it as an issue that has united the House, and I think we have heard such reflections from all Members across the Chamber.
Royal Mail is one of our great national institutions. For generations, it has connected people and communities across our country. It is a lifeline for some of our more vulnerable members of society, our elderly included. For many people, their postie is a regular and friendly face. The public’s affection for Royal Mail is enduring, but patience with its poor service is not. We should not assume that the post matters only to the older generations, because it does not. Citizens Advice research published last week shows that younger adults are using postal services more frequently than older people—to apply for jobs, manage their finances, send letters to healthcare providers for appointments and access Government services. Post is not just part of our history, even though we have heard some very interesting reflections and historical stories. It is still part of people’s everyday lives, which is why it is so important to ensure that we secure a reliable service for the future.
Behind that service are our posties, and I too want to put on record my thanks to postal workers up and down the country for everything they do. My grandad proudly served his community as a postie, and I know that many other Members have a personal connection to their postie or a postie. As I did last week, I would like to thank and pay tribute to all the postal workers who work so hard to deliver for their communities, and go above and beyond. I know that, for many of my constituents, they may be the only person they speak to and interact with that day, and the incredible work posties do should not be underestimated. We are all clear that the service failures Members have described are not the result of their postie or of postal workers across the country.
Our affection for this national institution, however, must not mean accepting poor performance. I absolutely share the strong concerns expressed today and last week by Members across the House. I will be very clear again: Royal Mail’s performance has been unacceptable for far too long, and it needs urgently to restore service standards to levels that we all expect in our villages, towns and cities. The Prime Minister was similarly clear at this Dispatch Box last week, as was the Secretary of State at the Business, Innovation, Science and Trade Committee last Tuesday. I hope Royal Mail will be listening to this debate, and will hear the clear message that Parliament is sending.
We have heard about the serious consequences associated with late deliveries. Late letters—whether they contain a greeting card for a loved one, important medical correspondence, including hospital appointments, or financial information—are deeply frustrating, but they can also lead to serious consequences. I thank Members for sharing the terrible stories of the real-life impact that they can have, as well the impact on colleagues in this House when carrying out their responsibilities and duties as constituency MPs, for example, sending letters about coffee mornings and surgeries.
Hon. Members have raised the vital impact of high-quality and timely postal services on our democracy. We have made clear to Royal Mail the importance of the successful and timely delivery of election-related mail for returning officers and election readiness and performance, and I reassure Members that we will continue to do so.
David Reed
Will the Minister touch on the points that I raised about deferred mail? There should be more transparency over the economy service that Royal Mail offers. Constituents are receiving letters from the NHS or local councils, and do not realise that those buying these products have chosen a cheaper option.
Kate Dearden
I will be raising this issue with Royal Mail, and I will touch on my interactions with the chief executive later in my speech.
We know that postal vote letters not being delivered is an issue, and a number of us have seen that in our constituencies. I appreciate that the Minister is being clear with Royal Mail that it is an important issue, but is she aware of or has she asked Royal Mail how many of those letters were not delivered on time? How many complaints have been made? We know that a significant number of people are not even making complaints, because they do not think there is any point.
Kate Dearden
Colleagues have raised numerous concerns about missed mail in the Chamber and outside, and I will always raise that issue with Royal Mail. Where I need to push for transparency, I will do so. I will come shortly to what I have pushed the chief executive on.
With Christmas approaching, improvements clearly cannot wait. This is Royal Mail’s busiest period. Families and businesses that we have heard about are relying on timely deliveries. I welcome the commitment from Royal Mail to recruit 22,000 staff to help deliver this Christmas, and I will be seeking reassurances that it is doing everything it can to meet the demand.
As colleagues know, the Government do not run the delivery operations of independent businesses such as Royal Mail, but that does not mean that we are a passive observer. I have challenged Royal Mail’s leadership on performance, and I have been frank with them, as has the Prime Minister, that the pace of improvement needs to urgently increase.
Liam Byrne (Birmingham Hodge Hill and Solihull North) (Lab)
What has gone remarkably unremarked on in this debate is the role of Ofcom, to which we give £222 million a year. It is systematically failing to put in place a plan to improve the service at Royal Mail. The Select Committee has given Ofcom six months, expiring in a month’s time, to show that it is improving performance at Royal Mail. We insisted that at that point Ofcom tells us what new powers it needs to get Royal Mail to deliver, because fining Royal Mail into improvement has failed, and is likely to fail again. Can the Minister tell us what conversations she has had with Ofcom? What powers will she seek to give it if the situation persists?
Kate Dearden
I thank my right hon. Friend for the work that his Committee has done on this issue for his constituents and people across the country. I am aware that his Select Committee has written to Ofcom—I thank him for raising the issue again today—to seek further information about its plans to improve services. I met Ofcom last week, and I will continue to work closely with it. I will pragmatically consider any requests for additional powers, as we heard from the Secretary of State, where those are needed to support improved outcomes for constituents and customers across the country. We will be pragmatic about any requests, and I am meeting with Ofcom again soon to hear further.
In the meantime, I expect Ofcom to use the full range of tools at its disposal to secure a more reliable service for users. My right hon. Friend knows that I will continue to hold Ofcom and other regulators to account. On that point, in my recent meeting with Ofcom, I raised colleagues’ concerns about data on Royal Mail’s performance masking serious local issues. I have also stressed that the review over the coming months must take into consideration the wider challenges and the staffing, resources and workforce changes.
I will continue to raise the concerns, including those that lots of colleagues have mentioned. I am grateful to those who took the time to meet Ofcom directly the week before last to reflect constituents’ concerns, particularly parcel prioritisation, which we have talked about. I have heard about that at length from colleagues. Ofcom has confirmed that it is considering the role of the alleged prioritisation of parcels over letters as part of its ongoing investigation into Royal Mail’s performance in 2025 and 2026. I expect Ofcom will publish its findings in the coming weeks. Ofcom will be in no doubt about Members’ concerns following the meeting it had with them directly, today’s debate, the Westminster Hall debate and the concerns expressed by the Select Committee. I thank all colleagues for continuing to engage with myself and Ofcom on what they want to see and what they expect to improve.
On improvement, while there were some encouraging signs in the first quarter of this financial year with the roll out of the delivery model, that is only the start. Reflections clearly vary across the country on the impact of the roll-out, given what colleagues have said, and Royal Mail needs to turn this into sustained improvement that our constituents can rely on. That is why it is critical that any issues with the model between the workforce and management are resolved urgently.
I welcome the positive announcement by Royal Mail and CWU earlier today, which demonstrates a shared commitment to improving service performance, supporting the workforce and ensuring that the company is well prepared to meet customer demand over the Christmas period. That includes restarting the roll-out of the new USO delivery model, albeit over a slower timescale to account for the Christmas peak period.
To ensure that our constituents get the service that they deserve, it is critical that this engagement continues. The Secretary of State and I will be meeting with both Royal Mail and CWU next week to seek updates on progress. I know that postal workers have valuable insights on operations and thoughts about how things can be improved, and I am grateful for colleagues raising the reflections of the posties they have interacted with and met. It is important that they are also on board with any changes.
Hon. Members know that improving working conditions and standards for workers across the economy is important to me and this Government. The postal sector needs to work for consumers, businesses and workers. I am aware of concerns about the treatment and status of workers across the postal sector. The current employment status framework can leave very vulnerable workers without core and basic employment protections and rights.
Last week, along with some colleagues who are in the Chamber, I attended an interesting discussion on work and employment in UK parcel delivery with Sheffield University management school. That discussion aligns with the Government’s recently published consultation on proposals for targeted reforms on employment status, which will seek to address many issues—particularly around bogus self-employment—that colleagues have raised today; we discussed those issues at the roundtable, too.
I will move on to Royal Mail’s communication with colleagues. While local operational issues are for Royal Mail’s management to explain and address, I know that many hon. Members—as has been raised in this debate and beyond—are dissatisfied with the level of engagement that they have had with the company’s leadership. It is crucial that Royal Mail meets with Members of this House, listens to their concerns and sets out clearly what it is doing to put things right. That is the least that our constituents deserve.
I know that Royal Mail’s chief executive will now be meeting a number of hon. Members in Parliament next month, and I will continue to reflect Parliament’s concerns in my engagements with him—in particular, detailed information on local data and assessments of what is happening at constituency level. In my first engagement with the chief executive, I said that I would take seriously every complaint that is raised directly to Members via their constituents. As a constituency MP, I can share in the reflections and frustrations that colleagues have raised; when we receive those complaints, it is important that we have as much information as possible available to us—and early on. I would like to see that in a more proactive form from Royal Mail.
In addition to engaging constructively with Parliament, it is important that Royal Mail also listens to the concerns and suggestions of its workforce, who work so hard to deliver post across the nation. I welcome engagement, whether through formal or informal channels that are currently in place, such as the Q&A sessions that Royal Mail has introduced, or more directly from staff to senior leadership, but I urge Royal Mail to also to continue to listen to its workforce through their recognised unions and reps. The expertise and first-hand experience of the workforce must help to shape improvements.
Some Members also raised the idea of linking any further price increases to improvements in quality of service. I understand the frustration when people see prices rise but do not see the improvement in services that they rightly expect. Every pound matters to our constituents who are still struggling, and our constituents need to see the value as well as the reliability. Considerations around pricing regulations are a regulatory matter for Ofcom, which is considering this very issue as part of its consultation on pricing and affordability, which was launched on 16 October and will close on 27 November.
Our priority for Royal Mail has been scrutiny of the takeover and securing important undertakings to support the financial sustainability of the company and the long-term provision of the universal service obligations. Colleagues have given careful consideration as to where the Government can continue to play our part—some in quite significant detail—and I am grateful for all the contributions this evening. I commit to continuing to engage with all colleagues in the Chamber on the progress of the quality of service with Royal Mail. Colleagues know that, alongside the Secretary of State, I am meeting with the leadership next week, and we will always be happy to update colleagues following those discussions.
Royal Mail’s performance has not been good enough. Our constituents know it, the Government know it, the House knows it and Royal Mail knows it, so we will continue to engage with Ofcom, and Royal Mail, its owners and its workforce. But people do not want excuses—they want their post delivered on time. Ultimately, that is the only test that matters. It is a test that Royal Mail must pass, and it is the test that this Government will continue to hold it to.
I will conclude by once again thanking our incredible posties across the country. This is not a reflection on them, their hard work, and their service to our constituents and our communities. We are committed to bringing all parties to the table to resolve the issues that we have discussed today, because Royal Mail is a national institution that we want to protect long into the future and an essential public service that our constituents rely on. I thank all colleagues for bringing their voices and those of their constituents to the Chamber today—I hope that they have been heard loud and clear. I look forward to working with all colleagues going forwards.