Royal Mail is to lose its 360-year monopoly on delivering parcels from Post Office branches, after the postal service signed deals with rivals Evri and DPD in the run-up to Christmas. The two couriers will be added to the options available at the counter from later this month, the Post Office said, giving customers a choice for the first time.
Industry sources said the decision was driven by increasing dissatisfaction at the Post Office with Royal Mail because of customers complaining about the standard of service. Royal Mail has come under fire for poor performance and is under investigation by Ofcom after missing delivery targets in 2022-23. It was also hit by strikes during the peak trading period last year, with delivery woes exacerbated by poor weather.
The Post Office and Royal Mail were part of the same group until 2012, when the Post Office was split out as a separate business during the privatisation of Royal Mail. While the Post Office manages the network of 11,500 branches, Royal Mail faces growing competition from courier companies. The Post Office already offers alternatives online but has never done so in branches before.
In a press release, the Post Office said 48% of people who send parcels would like to shop around for another provider. However, the new partners are not immune to criticism; Evri, formerly Hermes, has been rated the worst parcel delivery firm in polls by MoneySavingExpert and Citizens Advice. The Post Office plans to partner with even more carriers in the future.
Post Office chief executive Nick Read said: 'We are fundamentally transforming Post Office by introducing new mails carriers for over-the-counter sales for the first time in our 360-year history.' A Royal Mail spokesperson said they have opened up new ways for customers to access services, including online postage options and 24/7 drop-off at parcel postboxes.
The Post Office said the deals will also benefit postmasters by bringing in more customers. The company is still trying to mend its relationship with operators after the Horizon scandal, where a faulty IT system led to hundreds being wrongly accused of fraud. Read previously apologised for 'procedural and governance mistakes' linked to the scandal.
