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Ofcom Fines Royal Mail £21 Million for Missing 2024–25 Delivery Targets

Ofcom demands a credible improvement plan to restore service performance.

Overview

  • Royal Mail delivered 77% of first-class and 92.5% of second-class post on time in 2024–25, below targets of 93% and 98.5%.
  • The penalty, the third-largest imposed by Ofcom, was reduced from £30 million after Royal Mail admitted liability and settled.
  • It marks a third consecutive breach, following fines of £5.6 million in 2023 and £10.5 million in 2024.
  • Ofcom said exceptional weather did not justify the shortfall and warned that further fines are likely without meaningful progress.
  • Royal Mail accepted the decision and pointed to trials of a new delivery model and network changes enabled by recent universal service adjustments.