March hearing date

Date set for Royal Mail £878m anti-competition suit

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Royal Mail will learn whether it will face trial in March 2025

The Competition Appeal Tribunal has set the hearing date for a £878m collective action claim against Royal Mail’s parent company International Distribution Services for 3 March.

The hearing by the Competition Appeal Tribunal will decide whether the claim will then proceed to trial.

Filed on behalf of Bulk Mail Claim Ltd (BCML), which represents around 290,000 bulk mail customers, the claim alleges that Royal Mail illegally squashed competition to overcharge customers on bulk mail orders from 2014 onwards.

The proposed claim follows Ofcom’s 2018 finding that Royal Mail abused its dominant position in the bulk mail market in 2014, engaging in conduct that affected competition in the market and breaking EU and UK law.

Andrew Wanambwa, partner at Lewis Silkin, the firm representing BCML, said: “Royal Mail abused its dominant position in the bulk mail market, with the result that hundreds of thousands of customers – ranging from local authorities to charities to small businesses – found themselves paying more than they should have. 

“The claim we are bringing seeks to secure compensation for those affected.”

Royal Mail responded to the original claim in June in The Guardian, saying: “We confirm that we have received an application for a collective proceedings order from an entity called Bulk Mail Claim Ltd which we consider to be without merit and we will defend it robustly.”

International Distribution Services is currently undergoing a £3.6bn takeover by Czech billionaire Daniel Křetínský, with the deal currently held up in government reviews under the National Security and Investment act.