Small businesses consider alternative to Royal Mail

The Communication Workers Union (CWU) has threatened further strike action leading up to the Christmas period. The Union released the statement in the wake of Royal Mail's recent London strikes.

In response, the Prime Minister has stated that the ‘Royal Mail could lose major contracts if the unnecessary walk-out was not prevented'. He went on to say that a walk-out would not be of any benefit, and that even more businesses will suffer at the hands of the dispute.

Strike action is widely expected to affect small business suppliers in particular, as postal strikes will almost certainly mean further delayed payments and increase the strain on cash-flows.

According to a recent British Chambers of Commerce (BCC) survey, 90% of small firms are becoming increasingly concerned about the planned postal strike. In addition to this, 75% stated that they are looking elsewhere for a more reliable delivery service.

The BCC's Economic Policy Adviser, Steve Hughes, said that businesses are desperate for consistency in their postal service and that currently the Royal Mail is not delivering this.

15/10/09