"The end result will be more of the industry's business being lost to electronic mail." The row erupted after
Postcomm announced it was "minded to accept" Royal Mail's argument that extra revenue was needed to protect the universal service, which obliges it to deliver to all the UK's 28 million addresses for a single price.
It asked the postal regulator
Postcomm to allow increased prices to generate extra revenue of up to pounds 100m over and above the existing price control for mail products.
It asked the postal regulator
Postcomm to allow increased prices to generate extra revenue of up to pounds 100m over and above the existing price control for mail products, including access mail, under which the Royal Mail delivers post for rivals.
The inflation-busting proposals have been sanctioned by industry regulator
Postcomm in order to help safeguard Royal Mail's universal service - delivery to every property in the country for the price of a stamp.
His comments, at question time, came after the postal regulator
Postcomm warned last week that Royal Mail's financial difficulties would get worse unless a large portion of the company was sold.
He congratulates
Postcomm for concluding that Royal Mail should begin the approach to privatisation.
As well as cutting the service from six days to five, industry regulator
Postcomm also plans less strict targets for both first-and second-class mail.
Postal regulator
Postcomm says the industry must innovate to win back market share.
The postal operator will this week put plans before
Postcomm which they claim are vital for their survival.
The state-owned postal operator will this week put plans before regulator
Postcomm that it will say are vital for its survival.
Postcomm said its latest Business Customer Survey showed a competitive market had delivered early benefits, although more progress was still needed.