Investigation into Royal Mail’s compliance with the safeguard price control placed on second class letters

10 July 2020

Closed

Investigation into Royal Mail Group Limited ('Royal Mail')
Case opened 31 May 2019
Case closed 10 July 2020
Summary

This investigation is examining Royal Mail’s compliance with the second class safeguard price control cap, imposed on Royal Mail in Designated Universal Service Provider (‘DUSP’) condition 2.2.2.

Relevant legal provision(s)

DUSP condition 2.2.2, and Schedule 7 to the Postal Services Act 2011

Following our investigation, Ofcom has today issued a Decision to Royal Mail under schedule 7 of the Postal Services Act 2011 (“the Act”), for contravening Designated Universal Service Provider (“DUSP”) condition 2.2.2. Royal Mail did this by exceeding the price cap set for second class letters between 25 March 2019 to 31 March 2019.

As a result of the breach, Ofcom has decided to impose a financial penalty of £100,000 on Royal Mail.

More details can be found in our press release.

A non-confidential version of the Decision is currently being prepared and will be published shortly.


Case leader

Madhu Bedhan (madhu.bedhan@ofcom.org.uk)

Case reference CW/01245/05/19