Performance of Royal Mail Debate
Full Debate: Read Full DebateTom Gordon
Main Page: Tom Gordon (Liberal Democrat - Harrogate and Knaresborough)Department Debates - View all Tom Gordon's debates with the Department for Business, Innovation, Science and Trade
(4 days, 13 hours ago)
Commons Chamber
Chris Bloore
Could I make a little progress? I am conscious that many hon. Members wish to speak, but I need to get through some of my speech.
A council letter about a husband in a nursing home took from 14 November until 3 March to arrive. His family had six months to appeal and almost four months had already passed. A Department for Work and Pensions letter dated 5 January required a response by the 14th, but it arrived on the 20th. My constituent’s benefits were withheld. She had done nothing wrong; her letter was late. Benefits withheld, appointments missed and appeal deadlines lost—all because the post failed. If my office cannot trust Royal Mail to deliver a letter, how can I assure constituents that their hospital correspondence will arrive in time?
One more thing struck me with this casework. Almost every constituent says that their parcels arrive on time; it is the letters that do not. Is that a coincidence, or is that what happens when a company chases the parcels market and treats letters as an afterthought while holding a monopoly on them?
Tom Gordon (Harrogate and Knaresborough) (LD)
Will the hon. Member give way on that point?
Chris Bloore
I will give way to the hon. Member for Upper Bann (Carla Lockhart) as she asked first.
Chris Bloore
The hon. Lady is completely correct, and I will touch on that issue.
Tom Gordon
I thank the hon. Gentleman for being very generous with his time. Earlier today, I opened the new Friends of Harrogate Hospital garden at the hospital. I spoke with the chief executive, who made the point that Royal Mail has told them that NHS appointments are meant to be prioritised, but the reality that we are all experiencing clearly shows that that is not the case. Does he agree that Royal Mail needs to pull its finger out, so that lives are not lost as a result of its negligence?
Chris Bloore
I agree.
The Government’s response to the Business and Trade Committee makes the point well: a lack of capacity that forces a company to prioritise some items over others is no justification for failing to deliver the expected service. Royal Mail must deliver 90% of its first-class letters the next working day. It is managing 85%. Against the target of completing 99.9% of delivery routes each day, it is completing just 70%. Those targets have been missed for five years running, while the price of a first-class stamp has risen by 137% to £1.80 and the price of a first-class medium parcel, where Royal Mail competes, has fallen by half. Where there is competition, prices fall; where there is monopoly, prices rise and services continue to fall.
What has the regulator done, really? Since 2015, Ofcom has investigated Royal Mail seven times and fined it four times. Last year, Ofcom lowered the very targets Royal Mail was missing and cut second-class delivery days, saving the company up to £425 million—“rewarding failure”, as Citizens Advice put it. More fines will not fix this, yet Ofcom has never come to this House seeking the powers it needs to hold Royal Mail to account. A regulator that can punish failure but cannot compel improvement must answer a fundamental question: what is it for? If Ofcom cannot do its job, a new regulator, with real teeth, must be considered.