Compo pay-outs by Royal Mail tops £250,000

Compensation pay outs to individuals and businesses in south and west Wales for delays, losses and thefts topped £250,000 in the last year, Plaid Cymru AM Chris Franks has learnt.

In the CF postal area, which includes Cardiff and the South Wales Valleys, the total pay-outs during 2009-10 rose to £115,000 2008-09 from £103,000.

While in the SA post code area, centred around Swansea and west Wales, compensation payments were slightly down from £87,523 to £85,905 but in the NP Newport area there was a big rise from £40,789 to £57,267 – up 40 per cent.

In the CF area a total of £81,930 – up £8,000 on the previous year – was paid out to 4,841 claimants for loss of mail. Total complaints across all categories came to 13,532 up from 12,485, with 7,690 receiving compensation – a rise from 4,922.

While in the SA 3,551 out of 4,239 claims for loss were successful resulting in £64,276 being paid out. Total complaints across all categories in the SA area came to 9,372, with 5,487 receiving compensation – a rise of almost 1,000 on 2008-09.

In the Newport post code claimants for loss received £42,803 – a rise from £28,358. The number of complaints for loss came to 2,451 with the 2,058 receiving compensation.

In July it was reported that the Royal Mail missed first class delivery targets in every region in Wales last year. The group failed to hit its 91.5% next-day delivery target during 2009/10 due to industrial action and bad weather.

Newport was named as the worst-performing area, missing its target by more than 3% with an 88.2% achievement rate.

Chris Franks, the Plaid Cymru member for South Wales Central, who examined the figures which are published on a post code basis on the internet, said: “It is of concern that compensation pay-outs in the three postal code areas in south and west Wales rose to more than £250,000. This is a significant amount of public money.

“In Cardiff, compensation pay-outs rose by £12,000 but the most significant issues appear to surround the Newport postal area with pay-outs jumping more than 40 per cent which suggest significant problems.

“I’m aware of the tremendous commitment of Royal Mail staff but management clearly needs to address issues which lead to complaints. Compensation is no consolation to an individual or business. They want their mail delivered promptly.”

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