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£120 million further investment in royal mail modernisation

Royal Mail has announced a further £120 million phase of capital investment as part of the company’s continuing programme to create a fully modernised, world class postal service for consumers and businesses in the UK.

The latest investment is earmarked to provide new equipment for delivery postmen and women and is in addition to more than £800 million, which has already been spent on the modernisation of the business. Royal Mail is investing a total of £2.1 billion in transforming Royal Mail and is on track to deliver that plan.

The new equipment will ultimately be introduced in all delivery offices and includes:

  • Almost 9,000 more handheld tracking devices on top of the 27,000 already purchased to help track deliveries more precisely
  • 11,500 new vehicles to make sure that postmen and women are able to take everything for their round with them without the need to be replenished mid-way through the day
  • Almost 2,400 electric powered trolleys, 4,000 high capacity trolleys and 24,000 lightweight trolleys to take the weight off postmen and women’s backs and help them carry letters, packets and parcels safely and efficiently

As a result, postmen and women will be better able to handle the increased proportion of packets and parcels in the mailbag – generated by the internet shopping market – in a safe and efficient way.

Mark Higson, Royal Mail managing director, said: “We’re investing for a positive future, both for our customers and our people. We know that traditional letter volumes are now falling by up to 10 percent annually, and we’re absolutely focussed on the need to create an operation, which gives us the very best chance of winning packets and parcels business in an intensely competitive marketplace. We’re hugely increasing our ability to track the delivery of goods and internet shopping orders and we are very determined to create the modern, efficient business that meets our customers’ needs and expectations.

“A successful future for Royal Mail, which protects as many jobs as possible and secures the one-price-goes-anywhere universal postal service, depends on making investments quickly and on everyone in the company playing their part in making change happen throughout our operation. I’m delighted with today’s announcement which shows that every delivery office in the UK will be able to make use of new equipment as well as modernising the way in which they work.”

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