Royal Mail: Performance

Charlie Maynard Excerpts

Wednesday 21st October 2026 Westminster Hall

[Charlie Maynard (Witney) (LD)]

It is a pleasure to serve under your chairship, Ms Lewell. I thank the hon. Member for Lagan Valley (Sorcha Eastwood) for securing this fantastic debate on an important issue, on which she spoke so well. I also thank her for shouting out the work of the Business, Innovation, Science and Trade Committee, of which I am a member, and of our Chair; let us see what November brings on that question.

The turnover rate of new Royal Mail employees is extremely high, and the work practices are incredibly harsh and getting harsher. We rely so much on our local posties to serve and help us, and it is really depressing to see how they are treated. My local postie, Tony, has just taken redundancy after years and years of work. It is hard not to feel that he was pushed out by being given a new round. It eminently did not suit, and Royal Mail knew that. That is happening in Witney and in other areas up and down the country. It is harsh and cruel. The numbers of people losing their jobs every week are not by accident, but by design.

Our Select Committee’s investigation into Royal Mail’s letter delivery service noted that only 74.9% of first-class mail has been delivered on time so far this year, against a target of 93%. That translates into approximately 126 million first-class letters arriving late over the year. At present, missing targets is cheaper than meeting them. Fines totalled about £37 million over the last three years, while first class reached only 75.7% next-day delivery, against a 93% target. That is a real problem. If Royal Mail just takes the fines, that does not help anybody.

The way to fix that problem is by focusing on two things that the owner values most: stamp price rises and taking cash out of the Royal Mail business. Here are some ideas on how we could achieve that. First, as others have mentioned, there should be no stamp price rises until targets are met. We have to get that link absolutely firm. That hits revenue directly and will make them pay attention. Secondly, Royal Mail’s cash should be ringfenced: no dividends, inter-group loans or management fees to the parent company while targets are missed, as Ofwat can do with water companies. That would stop letters subsidising parcels.

Thirdly, fines should be escalated, linked to turnover and paid into service improvement when we receive them. Fourthly, there should be automatic compensation for customers when mail is late, as there is with delay and repay. Fifthly, there should be no executive bonuses—none—while targets are missed. Sixthly, we need transparency: performance by postcode area, letters and parcels shown separately, and staffing levels published. That is absolutely critical. They hide behind this fug about how they lack the data. We need it at a granular level so that we can see what is going on where. Finally, there should be—

[Emma Lewell (in the Chair)]

Order. Time is up.

--- Later in debate ---

[Kate Dearden]

Before I address the hon. Gentleman’s point, and reflecting on his remarks about visiting his local sorting offices and what he is hearing from posties themselves, I put on record that Royal Mail has informed me that it has invested more than £470 million since 2021 in automation and in delivery and infrastructure updates. Of course, when it comes to pay and conditions, we work closely with the trade unions represented in Royal Mail, and we will consider the wider support we can provide to create a sustainable future for Royal Mail. Supporting our posties is absolutely essential.

I also take this opportunity to reflect on my recent meeting with the chief executive of Royal Mail, at which I specifically raised the issue of engagement with colleagues. I urged Royal Mail to be much more proactive with MPs, and much more detailed in its assessments of what is happening at constituency level, and to take seriously every complaint raised directly with it by colleagues, whether the complaint is about performance, service, staffing levels, sickness or absences. It is important that Members across the House have relevant information to hand. When Members, myself included, receive numerous complaints from constituents, it is important that they have the appropriate and relevant information to make that assessment. I reassure Members that I always reiterate that point when I meet Royal Mail.

[Charlie Maynard]

If possible, I would love to hear the Minister’s thoughts about the points I raised: linking targets to stamp price increases, escalating fines, transparency, and ringfencing Royal Mail’s cash.

[Kate Dearden]

Hopefully, the hon. Member has reflected on my remarks about my engagement with Ofcom, particularly on its recent consultation on stamps, the cost of living crisis, service and targets. I have heard his remarks and will take them forward in my conversations, particularly around Royal Mail’s service, which has to improve, and improve very quickly, as the Prime Minister reiterated today. I thank the hon. Member for putting his reflections on the record.

On USO reform, Royal Mail is currently implementing a new delivery model, as we all know and have discussed today. That new delivery model was approved by the CWU and its membership, and it is being implemented across the network. Colleagues have reflected on different feedback from their constituents, posties and local management.

Royal Mail’s performance against its quality-of-service targets has been improving, so it is important that any final issues between the company and its workforce in rolling out the new approach are resolved urgently. Today, I reaffirm the commitment given by the Secretary of State yesterday that we are meeting the CWU and Royal Mail the week after next to press for progress. We will update colleagues on that meeting.

I also want to reflect on what colleagues have said about our important, absolutely essential postal workers, who are a central part of every city, town and village we represent. Indeed, they are integral to their communities’ future success. Posties work tirelessly every single day for constituents and customers, and Royal Mail must ensure that they remain at the heart of a business that delivers in line with all our expectations.

I put on record my appreciation for our postal workers and posties across the country. My grandad was a very proud postie. He loved his community and he loved his job, because it is about much more than delivering letters and parcels. Posties are part of the communities they serve. They know their rounds and their customers. Often, they are one of the familiar faces that people see every day; sometimes, they are the only familiar face that people see. I therefore take the time to express my appreciation.

It is in everyone’s interest to get round the table to resolve the issues we have discussed today, including the need for an improvement in the quality of service—we must make sure that happens quickly. Indeed, that is my commitment to all colleagues in Westminster Hall today.

Before I conclude, I will talk about parcels and the need to address the imbalances in the postal sector, which is an important part of the next steps, and update colleagues on the work we are doing in the Department in this space. We are improving the working conditions, standards and rights of workers across the economy, including in the delivery sector, which is really important to me.

Last week, we published a consultation on proposals for targeted reforms of the employment status framework for employment rights. We recognise that self-employment arrangements can provide flexibility for some people, but we are also aware of the concern that the current employment status framework can leave vulnerable workers without core and basic employment protections and rights. Our consultation hopes to address those issues, particularly around bogus self-employment, which colleagues have reflected on today, taking into account the impact on key sectors of the economy, including the postal services industry.

Yesterday, colleagues and I attended an interesting roundtable on work and employment in UK parcel delivery, held with the University of Sheffield Management School, where we talked about exactly these issues. Its research is important and will feed directly into our work in this space. Across the sector, Ofcom has reacted to growing concern about delivery performance by reminding operators of their obligations, and it has engaged with all major parcel companies to ensure their compliance with the regulatory framework.

Although this debate focuses on the performance of Royal Mail, it is important to recognise that reliable delivery matters across the postal and parcel delivery market. That is particularly the case for our vulnerable constituents, as service failures can have a disproportionate impact on vulnerable consumers, including disabled people who might often struggle to leave their homes. Ofcom has introduced targeted protections that require operators to have appropriate policies in place for the fair treatment of disabled customers, alongside strengthened guidance on complaints handling. Lots of colleagues mentioned that today, and I will continue to press Ofcom and Royal Mail where I need to.

The way we communicate might be changing, but post remains an essential service for people and businesses across the United Kingdom. The Government believe that the performance of Royal Mail has been unacceptable: I have made that clear, as has the Prime Minister. The Secretary of State also made it clear in his response, published yesterday, to the Business, Innovation, Science and Trade Committee’s report. We will continue to press Royal Mail and its management to improve the quality of its service. Customers rightly expect and deserve a reliable postal service, and colleagues from all parties expect their constituents to have it, too. Royal Mail absolutely must deliver it, and deliver it soon.

Again, I pay tribute to and thank our incredible posties across the country who work tirelessly to deliver for our constituents and support their communities. Royal Mail is a national institution that is a key part of our identity, and we all want it to succeed. We are passionate about the universal postal service on which we all rely. I hope colleagues hear my passion about ensuring that we get people round the table so that we can deliver a better service for our constituents, through the wider postal sector and Royal Mail. I thank colleagues for their reflections and contributions, and I thank the hon. Member for Lagan Valley for securing this debate.