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7th May 2008
Postal competition 'has not helped small wholesalers'
A new report has suggested that increased competition in the postal sector has not helped small wholesalers.
The independent review set up by the government to investigate competition in postal services concluded that it had benefited larger businesses, but been bad for small firms.
Overall, the report concluded: "We have come to the conclusion, based on evidence submitted so far, that the status quo is not tenable."
Commenting on the findings, the Forum of Private Businesses (FPB) said that wholesalers and small retailers operating in rural areas relied on the current services offered by the Post Office.
The group's chief executive, Phil Orford, explained: "The report appears to substantiate fears that the postal services relied upon by many small businesses, particularly those in rural areas, have been critically eroded.
"It is important that these services are restored as quickly as possible, and that suggested measures, such as locating post offices in alternative locations and introducing mobile units, are put into practice as a matter of urgency."
(c) 2008 Adfero Ltd.
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