DX complains about Royal Mail to regulator
Date: 11 July 2007
Postal group DX has complained to regulator Postcomm about Royal Mail potentially breaching pricing regulations.
Thousands of businesses and households across the UK rely on the services of Royal Mail and other courier firms, but now it appears that Royal Mail may be using selective pricing.
Under the current laws, Royal Mail is not allowed to selectively lower prices because it is the dominant delivery firm. If it lowers prices it has to offer them to everyone.
However, DX claims that Royal Mail ignored this rule when it created a new service that it said was a niche market.
A spokesman for DX told the Scotsman: "DX remains very concerned about competitive behaviour by Royal Mail and urges Postcomm to act decisively to meet their statutory duty to promote competition."
A Royal Mail representative commented: "Royal Mail is operating in a fully competitive postal market and, in developing new products, Royal Mail's approach is to ensure that we have fair, cost-reflective prices."
Royal Mail was fined £1 million last year for failing to ensure equality in the "access to the last mile" market.
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