Full Breakdown
Royal Mail's Letter Delivery Shortfall Persists Amid Investment Plans and Revised Targets
5/29/2026, 8:55:45 PM
Letter Delivery Shortfall Under New Ownership
In the year to March 2024, Royal Mail delivered only 75.7 % of first-class letters on time, far below its pre-pandemic 93 % target, and 90.2 % of second-class letters against a 98.5 % target. The shortfall follows EP Group’s acquisition of the service in April 2023.
Background & Context
Performance fell during the Covid-19 pandemic and has not recovered. Ofcom fined Royal Mail £21 million in October 2022 and imposed further penalties in 2023 and 2024 for missing service standards.
Performance Data
Official Statements & Responses
Royal Mail says the £500 million plan will restore reliability and that it expects to meet the reduced 90 %/95 % targets by next year. Ofcom noted the new targets align with European peers and reduce cost pressures. COO Jamie Stephenson said lasting change across the network will require time. EP Group owner Daniel Kretínský expressed regret for delayed letters and denied any parcel-prioritisation policy.
Criticism & Opposition
Citizens Advice policy director Tom MacInnes called the performance “business as usual” and warned customers may wait another year for the new targets. Postal workers in February 2024 said letters were left undelivered for weeks and that staff were told to focus on more profitable parcels.
Conflicting Reports & Gaps
Royal Mail leadership denies any instruction to prioritise parcels, while frontline staff claim such prioritisation occurs. No independent audit of parcel-versus-letter handling has been released.
Verbatim Quotes
- “We're putting significant investment into improving reliability and reaching these new delivery targets, but delivering lasting change across a network of this scale takes time.” — Jamie Stephenson, Chief Operating Officer, Royal Mail
- “deeply sorry for any letter that arrives late” — Daniel Kretínský, EP Group owner
- “I have never heard any instruction or discussion, and have not participated in any exchange, that would sanction that Royal Mail is prioritising parcels over letters.” — Daniel Kretínský
- “What's worse, Royal Mail claims people will have to wait another year until it can meet its new, lower delivery targets," he added.” — Tom MacInnes
What’s Next
Royal Mail will press ahead with the £500 million upgrade while Ofcom monitors compliance. The regulator warned further fines could follow if standards are not met by 2025, and stakeholders await an audit of parcel handling.
