Royal Mail product changes - Branch Direct

On 20 June 2007, Royal Mail applied for a Direction from Postcomm for exemption from Condition 7 for its Branch Direct service.  Specifically Royal Mail requested exemption from the three month pre-notification requirements set out in Condition 7(2) and (3) and therefore by implication the publication requirements of Condition 7(4).  In addition, Royal Mail requested exemption from the publication requirements of contracts won through competitive tenders set out in Condition 7(5)(b).

Postcomm issued a consultation letter to stakeholders including other licensed postal operators, postal users, Postwatch, trade associations and other interested parties in the postal sector.  The consultation letter set out that Branch Direct appeared to be offered in a developed sector of the market and asked for respondents’ views on this issue.  It also set out Postcomm’s minded-to position and welcomed stakeholder views on it.

After careful consideration of the responses to this consultation, Postcomm has issued a direction exempting Royal Mail’s Branch Direct product from the pre-notification and publication requirements of Condition 7(2), (3) and (4).  In addition, Postcomm has exempted Branch Direct from the publication requirements of Condition 7(5)(b) if the tender was for closed user group services only, or closed user group services combined with another service or services which Postcomm has directed in writing, as exempt from the publication requirements of Condition 7(5)(b).

The full text of the direction, including Postcomm’s reasoning for its decision, can be found on the link below.

Related documents:

19 December 2007 - direction
Postal Services Act 2000, Sections 11 and 13.  Licence granted to Royal Mail Group plc, Schedule 2, Part 3, Condition 7.  Direction in relation to Royal Mail’s Branch Direct service  (pdf, 39KB)
13 November 2007 - consultation responses
Royal Mail (pdf, 75KB)
Non-confidential responses (pdf, 66KB) 
28 September 2007 - consultation letter
Request for an exemption from notification requirements for Royal Mail's Branch Direct service (pdf, 54KB)
12 July 2007 - Royal Mail's application
Application for a Direction from Postcomm for exemption from Condition 7 for Branch Direct (pdf, 66KB)