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Postcomm - The Regulator

The UK's independent postal regulator, Postcomm (the Postal Services Commission), was established in accordance with the Postal Services Act 2000.
Its primary duty is to act to ensure the provision of the universal postal service, which consists of a postal service provided at an affordable price determined by a public tariff uniform throughout the UK. It includes delivery each working day to the home or premises of every individual or other person in the UK and a collection each working day from access points.
The regulator operates a licensing regime for the area of the market broadly equivalent to the Post Office's former statutory monopoly (350 grams/£1). Consignia plc (now called Royal Mail Group plc) was issued a licence by Postcomm to provide the universal service on 26 March 2001.
Subject to this primary duty, Postcomm is required to exercise its functions in the manner which it considers is best calculated to further the interests of postal services, wherever appropriate, by promoting effective competition between postal operators. It does this, amongst other ways, by making recommendations to the Government about the size and scope of the licensed area, and by licensing postal operators to compete with Royal Mail Group plc within the licensed area.

Tell me more about
The Universal Service Obligation
Competition
Royal Mail's Licence
Licensed Operators
Useful contact details

Postcomm website - http://www.postcomm.gov.uk
Address - Hercules House, Hercules Road, London SE1 7DB
Telephone - 020 7593 2100
Fax - 020 7593 2142

Background
Postcomm's key responsibilities include:

  • ensuring the provision of the universal service;

  • regulating the universal service provider within the framework set by Government.

  • looking to promote competition through phased reductions in the reserved area or through licensing other operators within the reserved area, subject to its primary duty to ensure the provision of the universal service at a uniform tariff. This is alongside EU proposals for market liberalisation (see European Union Issues page). After a process that has involved full public consultation throughout - Postcomm have now published their decision on how best to promote effective competition in UK postal services.

  • subject to the provision of the universal service, Postcomm is under a duty to further the interests of users of postal services, wherever appropriate, by promoting effective competition between postal operators;

  • setting standards of service;

  • in consultation with the Consumer Council, it monitors the universal service provider's performance against the established service standards and performance targets for the main services offered by the universal service provider; and can impose penalties for a failure to meet these targets;

  • ensuring that there is no undue cross subsidy from the reserved to the competitive market. Also ensures non-discriminatory access to monopoly services;

  • enforcing the reserved rights of licensees.

Tell me more about
Postwatch - the consumer council

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