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Royal Mail is doing well in the public sector – why privatise it?

There are now 403 million reasons why Royal Mail should not be privatised. Financial results for Royal Mail just announced show that operating profits in the latest 52 weeks jumped to £403m, from £105m in the previous year. The government has signalled it intends to press ahead with a deeply unpopular privatisation even though Royal Mail achieved this return to profitability while remaining in the public sector.

Read more: Royal Mail is doing well in the public sector – why privatise it? | Michael Burke | Comment is free | guardian.co.uk.

Nominations open for the Postal Technology International Awards 2013

Nominations for the Postal Technology International Awards 2013 have opened. The awards are designed to recognise and reward all the hard work currently taking place in the postal industry.

The awards cover various areas of the industry and nominations can be put forward by anyone working in the sector. The categories are: Automation Technology of the Year; Digital Mail Innovation of the Year; Environmental Achievement of the Year; Last Mile Delivery Innovation of the Year; Retail Innovation of the Year; Service Provider of the Year; and Supplier of the Year.

Read more: Nominations open for the Postal Technology International Awards 2013.

Jersey postal staff to check on vulnerable islanders

Postal staff in Jersey could be used to check on older, disabled or isolated islanders as part of their rounds.

The idea for the Call and Check scheme came from a postman after workers were asked what other services could be offered as demand for post falls.

Staff who opt in for the voluntary scheme would report anything unusual or suspicious they notice while out delivering mail.

Read more: BBC News – Jersey postal staff to check on vulnerable islanders.

Royal Mail set to deliver bumper profits on back of online shopping boom

The state-owned delivery company will unveil earnings of between £300m and £400m in its full-year results this week, up from £211m last year, according to analysts.

The strong performance will boost Royal Mail ahead of its planned £3bn stockmarket listing, expected later this year, in what would be the biggest privatisation for 20 years.

Read more: Royal Mail set to deliver bumper profits on back of online shopping boom – Telegraph.

Britain’s post offices tell Government: ‘Don’t sell off Royal Mail’

The news is the latest blow to the Coalition’s plans to privatise the UK’s national postal service by March next year.

Last week it emerged that the Bow Group, a Tory think tank, was warning Conservative MPs against selling off Royal Mail.

The National Federation of Sub-Postmasters, which represents thousands of post offices, will call for an immediate delay in plans to privatise Royal Mail amid “serious concerns over the future of the post office network”.

Read more: Britain's post offices tell Government: 'Don't sell off Royal Mail' – Telegraph.

FT: Postal union threatens disruption over Royal Mail privatisation

A postal union leader has threatened a summer of industrial disruption and campaigning in a late attempt to halt the privatisation of Royal Mail.

Dave Ward, deputy general secretary of the Communication Workers Union, told the Financial Times the union was likely to order a boycott of deliveries of rival companies’ mail without calling a formal industrial action ballot.

That would, in effect, invite Royal Mail and private companies such as TNT Post and UK Mail to seek an injunction declaring the action, launched on the back of a less strict “consultative” ballot, unlawful. Otherwise it could result in up to half the nation’s mail going undelivered.

Read more: Postal union threatens disruption over Royal Mail privatisation – FT.com.

Opposition in the post for Royal Mail sale

If Royal Mail were invented today it would deliver letters a couple of days a week and parcels every evening. Rather than returning home to a red "Sorry we missed you" card, Fred Bloggs could expect his Amazon delivery to arrive after he got home from work, and would file away the odd birthday card or tax documents that still dribbled in by post.

But Royal Mail – which was founded in 1516 – today still has to deliver letters to every household in the UK every day from Monday to Saturday, under the orders of Parliament.

Read more: Opposition in the post for Royal Mail sale – Business Analysis & Features – Business – The Independent.

Report: Postal operators are expanding into financial services to become self-sufficient and curb their declining profits

London, April 29th, 2013 – Globally, postal services play a key role in providing access to basic communication and transaction services. The worldwide postal infrastructure has been shrinking for over two decades, in terms of both outlets and numbers of full-time staff. At the end of 2011, the total number of post offices stood at 662,701, of which 439,376 were staffed by officials of the designated operator and 223,325 were managed by people from outside the designated operator.

The traditional letter post service is under pressure from new technology, including the internet and (increasingly mobile) telephone services. Rising numbers of consumers and businesses are sending and receiving bills and invoices via the internet and making payments online or by telephone, instead of using post office services. The substitution of paper-based bills and statements, and bill payments by check, has been a key phenomenon for over 10 years.

With the decline in mail volume, post offices are looking at opportunities to support themselves and compete with other operators, both in the postal and financial sectors. Operators are becoming increasingly involved in providing or expanding their range of financial services, either to increase revenue or due to pressure from governments to increase access to basic financial services. With millions of people regularly visiting and using post offices, postal operators are looking to make additional use of their extensive retail presence and trusted brands. In 2011, financial services accounted for 11.7% of postal operator’s total income.

The financial services sector represents a significant opportunity for much-needed additional revenue for postal operators, either directly or through alliances with financial institutions. Many postal operators are also being urged to offer basic financial services such as payments, savings and microfinance to combat social and financial exclusion, particularly in poorer countries, or to better serve more remote geographical areas and isolated social groups. There is a significant potential for partnerships between postal operators and financial institutions, even in markets where postal operators and postal banks already offer a range of financial services. Alliances such as these could produce major financial rewards and deliver social dividends. For instance major banks in the UK such as Bank of Ireland, Barclays, Halifax, HSBC and Lloyds have formed partnerships with the UK Post Office to offer financial services.
Read more:
2020 Foresight Report: Post Office Financial Services

Royal Mail privatisation is being delivered behind closed doors

Dennis Skinner’s annual heckle at the state opening of parliament this year was a rallying cry for all those who worry about the little-discussed but imminent sale of Royal Mail.

Bolsover’s finest chose the occasion of the Queen’s speech to highlight plans to privatise her head. That particular aspect is perhaps symbolic but the wider impact of this privatisation will be anything but. Even his nemesis Lady Thatcher was loth to sell what many see as part of the fabric of our society and servant to our communities.

Read more: Royal Mail privatisation is being delivered behind closed doors | Mario Dunn | Comment is free | guardian.co.uk.

City Giants Face Royal Mail IPO Shut-Out

Some of the biggest banks in the City face being frozen out of the privatisation of Royal Mail amid demands from institutional investors to minimise the number of firms working on the deal.

I understand that ministers, who are being advised by Lazard, the independent investment bank, are likely to restrict to as few as five the number of banks picked to arrange a stock market flotation of the firm.

Read more: City Giants Face Royal Mail IPO Shut-Out.