Royal Mail says it has seen a fall in total parcel volume and revenues for the brand of 15% in its first quarter to June 2022, compared to the previous year. When compared to pre-pandemic levels total parcel volume grew by 1% and revenue by 15.6%.
Domestic parcel volumes were down 15% year on year and international volumes down 16%.
The company admits it has struggled to reduce costs quickly enough in line with its lower parcel and letter volumes. It is also being impact by strike action due to a dispute around pay.
Royal Mail opened its first Super Hub in Warrington in June and says it is on track to hit its target of 70% of parcels automated by the year end.
It also plans to roll out dedicated parcel routes from around 350 parcel depots across the country to meet the growing demand for next day and larger parcels. The first depot is planned to go live in October.
