Royal Mail has announced that it is to cut up to 2,500 jobs by the end of 2027 as the business implements universal service reform as part of its transformation programme.

The postal service said that the reduction equates to less than 2% of its current workforce, and is subject to a consultation, after briefing the unions on its proposals.

The transformation comes as the firm adapts to a rapidly changing market, with letter volumes declining by more than 70% since their peak. It added that customer demand for "faster and more convenient" parcel delivery services continues to grow.

Royal Mail said the organisational review is designed to improve efficiency, speed up decision-making, and focus resources on activities that have the biggest impact on its transformation and service customers.

CEO at Royal Mail, Alistair Cochrane, stated: "We have been working hard to reduce costs and simplify processes across all areas of the business as we transform to win in a very competitive market. These proposed changes remove duplication and allow us to invest further in the service we deliver for our customers.

"We are committed to treating everyone fairly and respectfully throughout this process, working closely with our trade unions. The proposed changes will not be easy, but they are an important part of building a stronger, simpler and future-ready Royal Mail for our customers and colleagues."

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