Royal Mail News: What’s Changing & What You Should Know

Royal Mail News is buzzing with major changes in 2025 — from shifts in delivery schedules to performance challenges and a renewed focus on parcels over letters. For people who rely on the Royal Mail — whether to send greeting cards, parcels, or important letters — these developments could affect how and when you receive your mail.

Understanding Royal Mail: What It Is and Why It Matters

What is Royal Mail

Royal Mail is the historic postal service operator in the United Kingdom. For centuries, it has served as the backbone of mail delivery — delivering letters, parcels, and packages across the UK, including first‑class mail, second‑class mail, tracked parcels, business mail, and more. Historically, its remit included a “universal service obligation” (USO), meaning it must deliver to every address across the UK at a uniform price, six days a week.

Why Changes Are Happening Now

Over the past decades, the volume of traditional letters has plunged dramatically. Once delivering tens of billions of letters annually, the number has dropped sharply — a result of digital communication replacing snail‑mail, and fewer people sending traditional letters. This shrinkage has undermined the financial viability of maintaining daily, nationwide letter delivery.

Simultaneously, parcel deliveries — driven by e‑commerce and online shopping — have surged. Royal Mail’s business has been shifting to adapt, focusing more on parcels and less on traditional letters. But this shift requires structural changes: cost‑cutting, re‑thinking delivery schedules, changing terms and conditions, and modernizing operations.

In 2025, regulatory changes and business pressures have combined to drive one of the biggest transformations in Royal Mail’s history.

What’s New at Royal Mail in 2025 — Key Developments

Major Regulatory Reform: Changes to Second‑Class Mail Delivery

The UK postal regulator has approved reforms that allow Royal Mail to scrap Saturday deliveries for second‑class post. As of July 2025, second‑class mail no longer automatically arrives on Saturdays. Instead, deliveries will alternate on weekdays.

First‑class mail will continue six days a week (Monday–Saturday), but second‑class mail will follow a reduced schedule: alternate weekdays only.

The change is part of a broader overhaul of the USO aimed at saving costs and ensuring Royal Mail’s sustainability. The reforms could save the service between £250 million and £425 million per year.

New Delivery Targets and Quality Expectations

With the cuts to delivery days comes a reduction in performance targets. For first‑class mail, the target for next‑day delivery has been lowered from 93% to 90%. For second‑class mail, the target for delivery within three days has dropped from 98.5% to 95%.

A “backstop” target requires 99% of mail to be delivered no more than two days late, providing a safety net in case of delays.

Performance Issues: Missed Targets, Fines, and Delivery Delays

Despite efforts, Royal Mail has struggled to meet even the lowered targets. In the 2024–25 financial year, the company delivered only 77% of first‑class mail on time, and 92.5% of second‑class mail on time — both well below the prior standards.

The watchdog fined Royal Mail £21 million for missing delivery targets during the year.

In more recent months, performance continues to lag: only around 73% of first-class mail was delivered next working day, and about 90% of second-class mail arrived within three working days.

Many customers are reporting late or missing deliveries — especially for non‑urgent second‑class mail or tracked parcels.

Business Shift: Profit Recovery and Focus on Parcels

Despite service challenges, 2025 has been a “year of change.” The parent group of Royal Mail reported underlying profit for the first time in three years, even though after certain costs it still reported an operating loss.

The profit turnaround is attributed to rising parcel volumes, better cost controls, and more efficient pricing — signaling that parcels (not letters) are becoming the core business.

As part of its transformation, Royal Mail is cutting back on costly operations like domestic charter flights, halving its air‑mail flights across the UK to reduce costs and carbon emissions. Mail is increasingly transported by road, with scheduled shift changes to allow longer road‑based delivery times.

Changes to Terms & Conditions and Mail Specifications

Starting October 2025, Royal Mail updated its Terms & Conditions: the maximum weight for standard items has been reduced, minimum size requirements changed, and other product specifications adjusted.

New surcharge rules were introduced for business collections, such as cancellations or under‑utilisation.

For international shipments, customs duty responsibilities and data provision requirements have been clarified in line with trade regulations.

Ongoing Pilot Programs: National Rollout Delayed

The reduced delivery schedule is currently in a pilot across 35 delivery offices.

A national rollout is expected only in early 2026 due to the complexity and scale of operations.

Many areas may still receive mail as before — but further changes are coming.

What These Changes Mean for You — Practical Implications

For Everyday Mail Users: Letters, Cards, and Personal Mail

Second‑class letters (birthday cards, bills, routine mail) may arrive slower due to alternate‑weekday scheduling.

Address mail properly and clearly to reduce the risk of misdelivery or longer delivery times.

For time-sensitive mail, consider upgrading to first‑class or tracked services.

Factor in longer lead times, especially during busy periods like holidays.

For Parcel Shippers and Online Sellers

Royal Mail is prioritizing parcels, which is good news for small to medium shipments.

New surcharges for business collections could affect costs — review shipping contracts and volume usage.

International shipments now require stricter compliance with customs and data requirements.

For Frequent Mail Recipients

Don’t assume next-day delivery for first-class mail, given recent performance trends.

Consider using tracked or signed-for services for important correspondence.

Factor in longer wait times for non-essential mail.

For Employees and Businesses

Employees may face changes in work patterns due to pilot restructuring and alternate‑weekday delivery.

Businesses relying on mail may need to adjust operations to accommodate slower delivery times and new surcharges.

The broader shift emphasizes parcels, tracking, logistics, and cost efficiency over traditional letters.

How to Adapt: A Step‑by‑Step Guide

Step 1: Review Your Mail

Categorize your mail: letters, parcels, business mail, or international shipments.

For time-sensitive items, consider first-class or tracked services.

Step 2: Audit Shipping Practices for Businesses

Review shipping volume and schedule to avoid surcharges.

Consider tracked, signed, or parcel services for reliability.

Ensure international shipments comply with updated customs and data requirements.

Step 3: Adjust Recipient Expectations

Allow extra time for second-class mail.

Use tracking or registered services for important correspondence.

Adjust timelines for deliveries during busy periods.

Step 4: Stay Informed

The pilot rollout is ongoing; check local delivery office updates.

Monitor updates to terms, weight limits, and shipping requirements.

Be aware of the shift toward parcel-focused services and modern logistics solutions.

Recent Trends (as of 2025)

Letter Volumes vs. Parcel Demand

Letter volume has declined sharply since the early 2000s.

Parcel volumes have surged due to e-commerce, driving profit recovery.

Focus on Cost Reduction and Efficiency

Delivery schedules and targets have been adjusted to prioritize sustainability.

Reduction of domestic flights and more road transport reduces costs and emissions.

Updated Terms & Conditions favor parcels and tracked items over letters.

Regulatory Support

Reforms approved by regulators enable cost-saving measures and sustainability.

The traditional six-day letter delivery model is being phased out for second-class mail.

Customer Concerns

Delays are becoming more common, affecting even first-class mail.

Businesses face surcharges, compliance requirements, and operational challenges.

Real-Life Examples

Birthday Card to Grandparents
Second-class mail could take several extra days due to alternate-day delivery. First-class or tracked services are safer for time-sensitive items.

Small Online Business Shipping Handmade Goods
Package size and weight restrictions, along with alternate-day delivery, may affect delivery speed and costs. Reviewing shipping methods is essential.

International Parcel with Customs Requirements
Updated rules require careful compliance with customs and data. Failure could result in rejected or delayed shipments.

Regular Correspondence
Utility bills or subscription magazines may arrive later than usual. Consider e-billing or upgrading to first-class services.

Should You Still Use Royal Mail?

Pros

Nationwide reach, including remote addresses.

Affordable for non-urgent mail and small parcels.

Parcel services remain reliable for e-commerce.

Cons

Delivery delays are more frequent, even for first-class.

Second-class mail is slower and less predictable.

Businesses may face surcharges and compliance challenges.

Overall reliability has declined

Practical Tips

Use tracked or signed services for important items.

Allow extra time for deliveries, especially second-class.

Businesses should audit shipping volume, packaging, and contracts.

Ensure international shipments meet customs requirements.

Monitor local mail office updates for pilot rollout changes.

Consider alternative courier services for time-sensitive shipments.

What’s Next for Royal Mail

Full national rollout of alternate-weekday delivery expected in 2026.

Further updates to terms, parcel standards, pricing, and tracking may occur.

Increased focus on parcels, automation, digital tracking, and alternative delivery options.

Regulatory reviews may continue as postal demand evolves.

FAQ

Will my letter always reach me within three days under the new system?

Not necessarily. Second-class mail may be delayed due to alternate-weekday delivery and pilot office schedules.

If I send first-class mail, will it still be delivered next day?

First-class mail aims for next working day delivery, but delays are increasingly common.

I run a small business — will shipping costs increase under the new rules?

Possibly. Surcharges apply for under-utilized collections, and size/weight restrictions may affect costs.

Is Royal Mail still reliable for sending parcels or international shipments?

Yes, but reliability is mixed. Tracked or courier services are recommended for time-sensitive items.

Why is Royal Mail cutting Saturday and frequent deliveries for second-class mail?

Letter volumes have declined, making daily nationwide delivery financially unsustainable. The reforms aim to save costs and prioritize parcels.

Final Thoughts

The 2025 changes at Royal Mail mark a turning point for UK postal services. As letter volumes decline and parcel demand grows, the company is shifting delivery schedules, lowering performance targets, updating terms, and focusing on parcels and tracking.

Everyday users must adjust expectations for second-class mail, plan ahead, and consider tracked options. Businesses need to audit shipping practices and comply with new rules. These changes aim to ensure Royal Mail’s financial sustainability while adapting to modern demands. Slower letter service may be the trade-off for stronger parcel performance, and how it affects you depends on your mailing habits.