International Distribution Services

Last week, we visited Parliament to launch our £1 million small business apprenticeship levy gifting fund and asked some attendees at the event their thoughts on the announcement. The apprenticeship levy gifting fund is one of a number of commitments we're making to small businesses which are published in a report by the British Chambers of Commerce (BCC) and Royal Mail titled Small businesses: delivering growth for Britain. Find out more at: http://ms.spr.ly/6044S7S7Y Holly Tucker MBE

Following extensive consultation, Ofcom has today announced changes to the Universal Service. The decision includes changes to Second Class letter deliveries and new delivery targets. International Distribution Services CEO, Martin Seidenberg, said: “We welcome today’s announcement from Ofcom. It is good news for customers across the UK as it supports the delivery of a reliable, efficient and financially sustainable Universal Service. "It follows extensive consultation with thousands of people and businesses to ensure that the postal service better reflects their needs and the realities of how customers send and receive mail today.” Letters remain an important means of keeping us connected, but far fewer are being sent. These changes to the Universal Service will help Royal Mail deliver a more reliable and sustainable service into the future. You can read more about the changes, and what they mean for customers, here: https://lnkd.in/eb2KjfY5

A three year pay agreement between Royal Mail and the Communication Workers Union has been reached today. The deal recognises the vital importance of our frontline colleagues in the transformation of Royal Mail. It gives our people certainty on pay and the business the stability it needs to deliver our ambitious plans. The agreement includes a 4.2% increase in 2025 and an inflation-linked increase of at least 2% in 2026 and 2% in 2027 and has been endorsed by the CWU’s Postal Executive Committee. The CWU will shortly issue a ballot with a recommendation to accept. Read more here: https://lnkd.in/ewQk3qsv

Today we’ve published our 23rd ESG report highlighting our great progress in 2024-25. We’re proud to announce that we achieved a strong reduction in our average carbon emissions per parcel delivered - already the lowest in the industry - down by a fifth (20%) in the past year. This means we remain the UK’s greenest parcel operator*. Our carbon emissions per parcel fell to 165gCO2e from 206gCO2e in 2023-24. This reduction was driven by our increased use of low-emission biofuel Hydrotreated Vegetable Oil (HVO) in our fleet of large trucks, the deployment of 1,900 new electric vans, energy efficiency measures across our estate and a strong reduction in our Scope 3 emissions, including almost halving the number of domestic flights. Other highlights include our investment in our people with a new mental health training programme for managers, the launch of Royal Mail Kits 4 Kids, and £1 million raised for British Heart Foundation. You can read the full report here: http://ms.spr.ly/6046SIALu *Based on average gCO2e emissions per parcel delivered by UK parcel operators, as published by Citizens Advice 2024 Parcels League Table.

A new chapter begins at GLS Czech Republic 🚀 Welcome, Petr Pěcha—we look forward to the journey ahead under your leadership!

This month, Royal Mail successfully hit its target of 90% automation across its parcel operations. This followed years of investment, which included: 📦 The opening of two state-of-the-art, automated parcel hubs in Warrington and Daventry which can process up to 1.5 million parcels a day combined. 📦 The addition of 10 specially designed large parcel conveyors at mail centres across the country, to manage bigger parcels. 📦 Three new high-speed Parcel Sortation Machines added to mail centres in Leeds, Plymouth and Exeter, each one increasing processing by 21,000 parcels per hour. Each has boosted the quick handling of deliveries, especially during Christmas, meeting the growing demand for items to arrive the next day. Read more about the story here: https://lnkd.in/e7B3WrnC And see our automation in action below!

We continue to make strides in our roll out of Royal Mail parcels lockers across the country. Last week we announced a new partnership with NewRiver REIT, installing lockers at more than 60 of their shopping centres and retail parks. The first have already been launched at Grays Shopping Centre in Thurrock and Newlands Shopping Centre in Witham. The rest will be available within six months. Director of Out of Home at Royal Mail, Anna Malley, said: “Our customers are sending and receiving more and more parcels, and our mission is to make it as convenient as possible by giving them choices that suit them. “NewRiver’s shopping centres and retail parks are exactly the kind of busy locations that many of our customers will already be visiting, making it easy for them to drop off their parcels while they’re there. “The lockers are simple to use with technology that can print postage labels, which is really important for many people.” Read more here: https://lnkd.in/eMbya2nZ

Today Ofcom announced proposed changes to Royal Mail’s Universal Service. Ofcom has outlined the need for urgent reform to reflect how people use the postal service and protect it going into the future. Proposals include: ✉️ Delivering Second Class letters on alternate weekdays, not on Saturdays ✉️ Keeping First Class deliveries six days a week Royal Mail CEO Emma Gilthorpe said: “Ofcom has recognised the urgent need for change so that the future of the Universal Service can be protected for all. “Our proposal was developed after speaking to thousands of people across the country and is designed to preserve what matters most for our customers - maintaining a one-price-goes-anywhere service to 32 million UK addresses and First Class deliveries six days a week. “As Ofcom’s analysis shows, it is no longer financially sustainable to maintain a network built for 20 billion letters when we are now only delivering 6.7 billion. Reform is crucial to support a modern, sustainable, and reliable postal service for our customers, our company and our people.” See Ofcom’s announcement here: https://lnkd.in/e9cBjuKC

Today we issued our trading update for Q3 2024-25. This latest performance keeps the business on track to return to an adjusted operating profit by the end of the financial year. It represents a significant milestone in the turnaround of Royal Mail and a solid foundation for the future of IDS. Highlights include: 📦 Royal Mail’s high level of reliability, ensuring 99% of all items posted on or before the last recommended posting dates arriving in time for Christmas. 📦 Strong growth in tracked parcels with Royal Mail’s state of the art parcel hubs processing over 75 million during Christmas. 📦 Both parcel and revenue growth for GLS. The new Paris hub opened in September 2024 providing more capacity and the US parcel business saw improved profitability. IDS CEO, Martin Seidenberg, said: “I'm proud of my colleagues across Royal Mail and GLS who went above and beyond for our customers this Christmas.   “At Royal Mail, we've made more progress to adapt to customer demand, delivering Christmas, driving growth and offering customers more convenient options to send and receive parcels.   “GLS saw good export volume growth and continued to invest in strategic initiatives, such as the roll out of parcel lockers across Europe, strengthening its network.” Read more here: https://lnkd.in/eacnbMe7

This week Royal Mail announced the launch of its own network of parcel lockers. The first 250 will be rolled out in the next few months, outside of Royal Mail delivery offices and other convenient locations, providing 24/7 access. It’s part of our greater strategy to meet the increased demand for parcel services created by the growth in online shopping – it’s all about giving customers as much choice as possible. The first locker was unveiled outside of Royal Mail’s historic Mount Pleasant mail centre in London this week. #royalmail #IDS #onlineshopping #parcellockers