Almost 8,000 convenience sites will have Royal Mail (RM) Shop branding rolled out from October, after PayPoint Plc and Royal Mail owner, International Distribution Services (IDS), took 49% ownership of Collect+, with an investment of £43.9m.
However, the move is being viewed as a stab in the back by many postmasters, according to the National Federation of Subpostmasters (NFSP).
Collect+ has a network of over 14,000 Out of Home locations in the UK, of which almost 8,000 offer RM collect, send and return parcel services. The next stage in this partnership, saw an initial 500 of these sites upgraded to deliver RM over the counter services, enabling customers to buy postage in store, and almost 8,000 sites will have RM Shop branding rolled out from October.
Over the next 12 months, the intention is to expand the rollout of RM over the counter services through the network, including the launch of self-service kiosks during Q1 2026. The new Royal Mail Shop outlets will fulfil demand for face-to-face parcel services on the high street that are open for extended hours, including during evenings and weekends.
The NFSP said: “Postmasters are understandably concerned … Both RM and Post Office have a long history together with the majority of postmasters loyal to the RM brand, so this is a decision that many postmasters view as a serious betrayal.”
The NFSP is in contact with PO as to how this may affect the new deal for postmasters.
Meanwhile, Nick Wiles, Chief Executive of PayPoint, was “delighted” that Royal Mail had invested in the Collect+ business. He said:
“The addition of Royal Mail over the counter services and Royal Mail Shop branding is an exciting development for our retailer network and is another example of how we deliver vital community services across the UK, including local banking, parcels and broader access to cash services.”
Alistair Cochrane, interim Chief Executive of Royal Mail, said of the roll-out:
“The launch of the Royal Mail Shop brand creates a new and improved high street destination for all of our customers’ parcel needs in one location. With postage available to buy in store, and opening hours including evening and weekends, the shops are giving customers greater flexibility in how they collect, send and return their parcels.
“This investment is one of the ways we’re making Royal Mail more convenient. We have the UK’s largest network of out-of-home parcel points — from lockers to solar-powered postboxes — and we’re focused on being the nearest and simplest choice for our customers.”
Royal Mail has been contacted for comment regarding the NFSP’s concerns.
