Approximate read time: 15 minutes

The House of Lords is scheduled to consider the following question for short debate on 3 September 2026:

Lord Pack (Liberal Democrat) to ask His Majesty’s Government what plans they have to improve the quality and reliability of parcel delivery services, particularly in relation to their impact on small businesses and vulnerable consumers.

1. Key points

  • The UK parcel delivery market is competitive, with major operators including Amazon Logistics, DPD, DHL, Evri, InPost and Royal Mail. Ofcom regulates postal services under the Postal Services Act 2011 and monitors delivery operators’ performance and standards and their impact on consumers and businesses.
  • Research by Ofcom and Citizens Advice indicates generally high consumer satisfaction but frequent delivery problems, including damaged parcels, inappropriate delivery locations, and issues with accessibility and complaints handling. Performance varies between operators, with some consistently scoring below average (such as Evri and Yodel, which has been taken over by InPost).
  • The government recognises the operational independence of delivery operators but has called on operators to provide a reliable service and reduce delivery issues. It has also welcomed Ofcom’s continued monitoring of these operators and enforcement action, where necessary.
  • Ofcom states that it has taken enforcement action against such operators, including issuing fines to Royal Mail for repeatedly missing mail delivery targets and requiring the company to publish and implement an improvement plan. It continues to monitor accessibility, affordability and service quality, and has issued guidance to operators on complaints handling and the fair and appropriate treatment of disabled consumers.

2. Providers and regulatory framework

The UK parcel delivery market is served by a range of operators, including Amazon Logistics, DPD, DHL, Evri, InPost (which has taken over Yodel) and Royal Mail.[1] Ofcom describes the parcels market as “competitive and innovative”, with operators competing on price, service quality, and speed.[2]

Ofcom regulates postal services under the Postal Services Act 2011.[3] Its statutory duties include securing the universal postal service, promoting competition where appropriate, protecting businesses and consumers, and monitoring postal operator performance.

Royal Mail, as the designated provider of the universal postal service, is subject to additional regulatory obligations.[4] Other parcel operators are not required to meet the same service standards but must comply with consumer protection legislation and Ofcom’s requirements, including on complaints handling and supporting the needs of disabled consumers.

Ofcom monitors the sector through annual research on residential consumers, small and medium-sized enterprises (SMEs), and on the performance of postal services.[5] It also has enforcement powers where operators fail to comply with regulatory requirements.[6]

3. Quality and reliability of parcel delivery services

3.1 Overall performance

In December 2025, Ofcom published research on postal services covering the 2024/25 financial year.[7] It found that 78 percent of consumers were “generally satisfied” with parcel services.[8] However, 68 percent had experienced a delivery issue in the previous six months. These issues included late deliveries, a lack of information or delivery options, or accessibility-related problems.

The most frequently reported problems related to the delivery process itself. Consumers cited parcels being damaged or left in inappropriate locations, and delivery staff failing to knock loudly enough or ring the doorbell. The least common complaints concerned the information provided by operators, such as inconvenient delivery options, incorrect or insufficient tracking information, and difficulties rearranging delivery.

3.2 Performance of delivery operators

Customer satisfaction varied between delivery operators.[9] Amazon Logistics and FedEx recorded the highest satisfaction levels (57 percent). Royal Mail (46 percent) was slightly below the average satisfaction level (47 percent). Yodel (38 percent) and Evri (31 percent) were “significantly below average” and had the highest dissatisfaction levels (Evri at 41 percent and Yodel at 33 percent).

A separate assessment published by Citizens Advice in November 2025 produced similar results. Its annual parcel league table assessed the five largest delivery operators by parcel volume (Amazon Logistics, DPD, Evri, Royal Mail and Yodel) against performance measures including accessibility, customer service and responses to delivery complaints.[10] Royal Mail received the highest overall score (3.25 out of 5), while Yodel received the lowest (2 out of 5). The full results are detailed in the table below.

Table 1. Performance of delivery operators against customer service, delivery, accessibility and trust, scores out of five

Rank Company Delivery Accessibility Customer service Trust Overall score
1 Royal Mail 3.2 2.8 3.4 4.0 3.25
2 Amazon Logistics 3.2 1.8 3.5 3.8 3.0
3 DPD 2.4 2.0 2.1 3.4 2.25
3 = Evri 2.4 1.6 2.7 2.0 2.25
5 Yodel 2.4 1.4 2.2 1.8 2.0

Citizens Advice reported “marginal shifts” in scores over five years, describing the overall picture as “one of consumers being persistently failed by parcel companies”.[11] It stated that accessibility was the “worst performing area” and that complaints handling and customer service remained “stagnant”.[12] Among those who experienced a delivery problem, 47 percent faced further issues when trying to resolve it, including slow responses, difficulties with automated systems and contacting operators multiple times to receive a response.

4. Impact on businesses and vulnerable consumers

4.1 Small and medium-sized enterprises

SMEs have generally expressed satisfaction with parcel delivery operators, with differences emerging between operators on quality and pricing. In December 2025, Ofcom published the results of its annual survey of SME postal users.[13] The survey reported that satisfaction with the overall quality of service from Royal Mail had declined from 79 percent in 2022/23 to 74 percent in 2023/24.[14] In contrast, overall satisfaction with other providers remained unchanged over the same period (81 percent).

Ofcom noted that while Royal Mail performed comparatively well in delivering items intact and undamaged, other providers achieved higher satisfaction across all other metrics, such as delivery consistency and reliability. Ofcom also highlighted that Royal Mail performed “particularly poorly” on the price of postage. This is detailed in the chart below.

Figure 1. SME satisfaction with service from Royal Mail and other operators, 2024/25

Figure 1. SME satisfaction with service from Royal Mail and other operators, 2024/25
(Ofcom, ‘SME postal users survey: Annual report’, 1 December 2025, p 9)

4.2 Vulnerable consumers

Ofcom and Citizens Advice have both identified accessibility as an area requiring improvement. In October 2025, Ofcom published the findings of its research into user experiences of parcel deliveries to residential addresses.[15] It found that individuals with disabilities or limiting conditions reported a higher number of delivery issues than those without such conditions. For example, 73 percent of those with an impacting or limiting condition experienced an issue with a delivery company, compared with 65 percent of those with no condition. This is detailed in figure 2 below.

Figure 2. Experience of issues across all delivery operators, 2025 data, percentage

Figure 2. Experience of issues across all delivery operators, 2025 data, percentage
(Ofcom, ‘Measuring user experience of parcel delivery to residential addresses’, 22 October 2025, p 24)

Users with “limiting or impacting conditions” also expressed a higher level of dissatisfaction (27 percent) with the complaints process than those without a condition (24 percent).[16]

Citizens Advice similarly identified delivery issues experienced by those with an accessibility requirement.[17] It reported that approximately three million people with an accessibility requirement that they would like to share with a delivery operator (37 percent) were “unable to share their needs”. Respondents cited uncertainty about what information they could provide regarding their accessibility need, or their accessibility need “not being given as an option when placing an order”. The charity also found that accessibility scores had “actually worsened” compared to the previous year, despite Ofcom requiring parcel operators to allow disabled consumers to report their accessibility needs.

5. Recent commentary

5.1 Government

The government has stated that it expects parcel delivery operators to improve their service when performance falls below customers’ expectations. Responding to a written parliamentary question in January 2026, Blair McDougall, then parliamentary under secretary of state at the Department for Business and Trade, said delivery operators “must provide a good service to their customers and reduce the number of lost, delayed or improperly delivered parcels”.[18] He also described postal services as “vital for small businesses”, while noting that delivery operators are independent businesses and that the government has “no role in their operational decisions”.

In response to a further written parliamentary question in February 2026, Mr McDougall said Ofcom had recognised the “growing concern” regarding the performance of parcel operators and had written to parcel operators about compliance with regulatory requirements.[19] He added that the regulator would consider whether enforcement action or additional regulation was necessary to ensure consumers were “adequately protected”.

In April 2026, the Department for Science, Innovation and Technology published its statement of strategic priorities for telecommunications, radio spectrum management, and postal services.[20] The department emphasised that “ensuring the effective and sustainable provision of postal services” was “integral to driving growth in the economy”. It said that it had asked Ofcom to continue engaging with consumer advocacy groups and business representative bodies on issues likely to affect users of postal services, and that their views should be given “due weight”.

The department also highlighted the need to secure the long-term provision of the universal postal service.[21] It observed that the sector had “changed significantly in recent years”, noting declining letter volumes and a “considerable growth” in parcel volumes. It attributed this growth to rising e-commerce transactions, technological innovations in logistics, AI integration, and expanding cross-border trade. The department said that, when considering how these dynamics impact the financial sustainability of the universal service, Ofcom should “consider the reasonable needs of users of postal services, particularly vulnerable customers and businesses that rely on the service”, while also providing “appropriate incentives” for Royal Mail to “continue to make the necessary investment to modernise the business”.

Discussing service quality, the department recognised the importance of Royal Mail’s universal service obligation (USO), particularly towards vulnerable users and those living in remote areas.[22] It welcomed Ofcom’s “proactive engagement” with Royal Mail on service delivery. It also stated that improving the consumer experience across the wider postal services sector, particularly for vulnerable consumers and those with disabilities, remained a “priority”. Additionally, the department welcomed Ofcom’s continued monitoring of delivery operators’ compliance with their regulatory obligations, and its publication of additional guidance on complaints handling and the requirement for parcel operators to have “established policies for the fair and appropriate treatment of disabled consumers”.

5.2 Ofcom

In June 2026, Ofcom’s chief executive, Dame Melanie Dawes, wrote to the then secretary of state for science, innovation and technology, Liz Kendall, outlining how Ofcom intended to have regard to the statement of strategic objectives.[23] She said the regulator had made “significant changes to the USO”, including to allow for alternate day delivery.[24] Dame Melanie argued that this would enable Royal Mail to make the structural changes needed to improve reliability and make the service more sustainable.

Dame Melanie also highlighted the “firm action” taken by the regulator where postal service standards had “slipped”.[25] This included issuing Royal Mail with a £21mn fine for failing to meet first- and second-class mail (letters and parcels) delivery targets during 2024/25 and requiring the company to publish and implement a “plan for significant and continuous improvement”.[26] She stated that this improvement plan had been published.[27] She also noted that Ofcom was reviewing the affordability and pricing of postal services ahead of the expiry of the second-class letter price cap in March 2027. She emphasised that it was “essential” that universal postal services provided by Royal Mail “remain affordable, so that all customers can participate fully in the market, and [support] businesses of all sizes to reach customers, especially in rural areas”.

Discussing the wider UK parcels market, Dame Melanie described it as “competitive and innovative”, noting that providers had invested in new technologies and offered consumers choice.[28] She stated that Ofcom had published research into parcel delivery experiences to “drive improvements in service quality”. She also reiterated that protecting disabled customers was a “priority” for Ofcom and highlighted guidance issued to delivery operators on complaints handling and standards of service. Additionally, she said that Ofcom had been “pressing” parcel operators to deliver “sustained improvements in customer service for vulnerable customers”.

5.3 House of Commons Business and Trade Committee

In March 2026, the House of Commons Business and Trade Committee held an evidence session on Royal Mail.[29] It took evidence from Daniel Křetínský, the owner of Royal Mail, and representatives from Ofcom and the Communication Workers Union.

In May 2026, the committee published its findings.[30] It stated that it was “clear” that Royal Mail had “repeatedly failed to meet both the public’s expectations and its regulated targets”. It noted that from April 2025 to January 2026, 74.9 percent of first-class mail was delivered the next day (18.1 percentage points below the target) and 90.2 percent of second-class mail was delivered within three days (8.3 percentage points below the target). The committee also highlighted that Ofcom had fined Royal Mail for the third consecutive year in October 2025 and had previously ordered Royal Mail to “urgently publish and implement a credible plan that delivers significant and continuous improvement”.[31] The committee described Royal Mail’s service as “not acceptable” and called for immediate implementation of the improvement plan “as the first step in restoring public confidence in the universal service provider”. It also called for longer-term reform of the USO and welcomed an agreement reached between Royal Mail and the Communications Workers Union to roll out a reformed USO.

Discussing the parcels sector, the committee noted that Royal Mail faced “stiff and growing competition”.[32] It stated that it had heard concerns that competitors such as Amazon Logistics had benefitted from using Royal Mail’s infrastructure without contributing to its operational costs, using the universal service to deliver parcels “in areas that are not profitable”. The committee noted that the current arrangement “limits Royal Mail’s commercial freedom in that they are bearing the costs of the large USO network infrastructure, while competitors hive off profits from that same network”. However, it also highlighted that Royal Mail charges other parcel operators for access to its network through commercial wholesale agreements. The committee also expressed concern about whether Royal Mail was intentionally prioritising the delivery of parcels over letters and noted that its predecessor had called on Ofcom in 2023 to directly take evidence from postal workers on “verbal briefings to deprioritise letter deliveries”.[33] However, it noted that Ofcom’s report on the subject appeared to indicate that the investigation had been limited to “ask[ing] Royal Mail for all organisation-wide policies and procedures relating to prioritisation”.[34]

The committee concluded that although there were “many reasons for Royal Mail’s persistent poor performance”, Ofcom was “failing” as the statutory regulator of the postal service.[35] It expressed concern that Ofcom’s regulatory approach had “for years now failed to bring about the required step change in Royal Mail’s performance”. It stated that it had “growing concerns” that Ofcom was “not up to the job of regulating a postal market that is growing in competition and complexity”.[36] It called for the regulator to “reset its approach” to regulating postal services, including producing a “clear roadmap” outlining the statutory and non-statutory tools available and how it intends to use these to “bring about demonstrable improvements in public satisfaction with postal services”. The committee said this should include services covered by the USO, access mail and services by Royal Mail’s competitors.[37]

The committee also recommended that this Ofcom “reset” should include providing basic operational performance data to Parliament, including the number of letters and parcels delivered outside performance targets.[38] It recommended that if the improvement plan it proposed “fails to deliver meaningful change within six months of this report”, the secretary of state should consult on statutory changes to Ofcom’s duties and powers.[39] It said that as a “first step”, the secretary of state should present a proposal to the committee for “levelling the playing field between Royal Mail and its competitors”, and that the government should consider a “wide range of options”, such as a levy on competitors to “reflect the benefit they enjoy from the use of the network”.

On 22 May 2026, Dame Melanie Dawes provided an initial response to the committee’s report on behalf of Ofcom.[40] She noted that Ofcom agreed that Royal Mail’s performance was “not acceptable”, highlighting that the regulator had used the “full extent” of its powers to modernise Royal Mail’s regulatory obligations.[41] She also outlined that Ofcom had “demanded Royal Mail publish a credible improvement plan, backed by investment from its owners”, and stated that with the plan published, it was “essential” that it was implemented in full and delivered “sustained improvement”. However, she contended that it was “ultimately for Royal Mail to improve its own operational performance”.

Discussing parcel competitors’ use of the Royal Mail network, she noted that access was provided on a “commercial basis” by Royal Mail and that the business “enters into wholesale agreements with both letter and parcel operators and sets the associated pricing and terms commercially”.[42] She stated that the price paid by other operators was “determined by Royal Mail through these commercial agreements, not by the regulator”.

In July 2026, Dame Melanie provided a further response to the committee.[43] Addressing the committee’s concerns about alleged parcel prioritisation at Royal Mail, Dame Melanie said that Ofcom’s regulation did not outline how Royal Mail organised its operation, but was “clear on the outcomes consumers must see”.[44] She added that “contingency-driven prioritisation”, whereby “Royal Mail lacks sufficient capacity to deliver all mail as planned and therefore prioritises some items over others”, was “not an acceptable justification for failing to provide the expected level of service to consumers”. She noted that Ofcom announced in June 2026 that it had opened an investigation into Royal Mail’s failure to meet delivery targets for 2025/26 and said it would consider whether the company’s use of prioritisation “may have affected its performance”.

The government has yet to publish a response to the committee.

6. Read more


Image by Kindel Media on Pexels.

References

  1. InPost, ‘Yodel by InPost has moved to InPost’, accessed 6 August 2026. Return to text
  2. Ofcom, ‘Letter from Ofcom chief executive Melanie Dawes to former secretary of state for science, innovation and technology Liz Kendall on the statement of strategic priorities for telecommunications, radio spectrum and post’, 4 June 2026. Return to text
  3. Ofcom, ‘Conditions imposed on postal operators’, updated 1 April 2026. Return to text
  4. As above. Return to text
  5. Ofcom, ‘Annual monitoring report on the postal market’, updated 3 December 2025. Return to text
  6. Ofcom, ‘Statement on the business and trade committee’s report on the regulation of postal services’, 22 May 2026. Return to text
  7. Ofcom, ‘Post monitoring report: Postal services in the financial year 2024/25’, 3 December 2025. Return to text
  8. As above, p 14. Return to text
  9. Ofcom, ‘Best and worst parcel firms for customer satisfaction revealed’, 22 October 2025. Return to text
  10. Citizens Advice, ‘Parcel problems reach record as 15 million people are let down on the doorstep’, 19 November 2025. Survey conducted between 29 August and 27 September 2025 of 8,000 UK adults who had received a parcel from one of the five operators. The data was weighted to be “nationally representative of those that had received a parcel from one of those five companies in the last month”. Yodel has since been taken over by InPost (InPost, ‘Yodel by InPost has moved to InPost’, accessed 6 August 2026). Return to text
  11. As above. Return to text
  12. As above. Return to text
  13. Ofcom, ‘SME postal users survey: Annual report’, 1 December 2025. Ofcom has surveyed 2,284 SMEs. Return to text
  14. As above, p 7. Return to text
  15. Ofcom, ‘Measuring user experience of parcel delivery to residential addresses’, 22 October 2025, p 24. Return to text
  16. As above, p 26. Return to text
  17. Citizens Advice, ‘Parcel problems reach record as 15 million people are let down on the doorstep’, 19 November 2025. Return to text
  18. House of Commons, ‘Written question: Small businesses: Delivery services (104205)’, 13 January 2026. Return to text
  19. House of Commons, ‘Written question: Courier services: Standards (112849)’, 23 February 2026. Return to text
  20. Department for Science, Innovation and Technology, ‘Statement of strategic priorities for telecommunications, the management of radio spectrum, and postal services’, updated 30 April 2026. Return to text
  21. As above. Return to text
  22. As above. Return to text
  23. Ofcom, ‘Letter from Ofcom chief executive Melanie Dawes to former secretary of state for science, innovation and technology Liz Kendall on the statement of strategic priorities for telecommunications, radio spectrum and post’, 4 June 2026. Return to text
  24. As above, p 7. Return to text
  25. As above. Return to text
  26. In Ofcom’s decision to impose a financial penalty on Royal Mail in 2025, the regulator stated that although the consumer harm associated with first- and second-class parcel services was “more difficult to quantify due to the number of price points associated with those services”, it was “likely some customers of these services would also have been harmed by Royal Mail’s poor service” (Ofcom, ‘Decision finding Royal Mail contravened its quality of service performance targets in 2024/25 and imposing a financial penalty’, 15 October 2025, p 17, para 5.28). Return to text
  27. Ofcom, ‘Letter from Ofcom chief executive Melanie Dawes to former secretary of state for science, innovation and technology Liz Kendall on the statement of strategic priorities for telecommunications, radio spectrum and post’, 4 June 2026, p 7. The improvement plan can be found at: Royal Mail, ‘Quality of service improvement plan for the postal universal service’, 20 April 2026. Return to text
  28. As above. Return to text
  29. House of Commons Business and Trade Committee, ‘The regulation of postal services’, 22 May 2026, HC 131 of session 2026–27, p 1. Return to text
  30. As above. Return to text
  31. As above, p 2. Return to text
  32. As above, p 3. Return to text
  33. As above, p 5. Return to text
  34. As above, p 6. Return to text
  35. As above. Return to text
  36. As above, p 7. Return to text
  37. In 2015, the House of Commons Business, Innovation and Skills Committee defined ‘access mail’, also known as ‘downstream access’ or ‘access competition’, as “when mail is collected and distributed from customers by a postal company other than Royal Mail, but is then handed over to Royal Mail, for the final processing (known as final mile delivery)” (House of Commons Business, Innovation and Skills Committee, ‘Competition in the postal services sector and the universal service obligation’, 12 March 2015, HC 769 of session 2014–15, p 18). Return to text
  38. House of Commons Business and Trade Committee, ‘The regulation of postal services’, 22 May 2026, HC 131 of session 2026–27, p 7. Return to text
  39. As above, p 8. Return to text
  40. House of Commons Business and Trade Committee, ‘Letter from Ofcom relating to the committee’s report on regulation of postal services’, 22 May 2026. Return to text
  41. As above, p 1. Return to text
  42. As above, p 2. Return to text
  43. House of Commons Business and Trade Committee, ‘Letter from Ofcom relating to the committee’s report on the regulation of postal services’, 9 July 2026. Return to text
  44. As above, p 7. Return to text