Royal Mail is to be told to consider cutting deliveries to just three days amid a potentially rocky future for the service.
Ofcom is expected to publish a document outlining potential options for the future of the delivery company’s postal service later today.
It is understood that the review update is not likely to recommend specific proposals but will outline evidence from Royal Mail and potential options to change the service to more closely meet the needs of customers.
Ofcom said that the two “primary options” for letter deliveries include changes to the number of days that letters are delivered a week.
Ofcom said the postal service could save between £100 million and £650 million
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That could mean that letters are only delivered to households and businesses five, or even three times per week. The Government would have to change the law for this to happen but could end up saving Royal Mail between £100million and £650million, the regulator said.
The alternative option is to make changes to slow down letter deliveries, meaning that it would take three or more days for most letters to arrive. However, next-day deliveries would still be available when required.
Ofcom chief executive Dame Melanie Dawes said: "Postal workers are part of the fabric of our society and are critical to communities up and down the country. But we’re sending half as many letters as we did in 2011, and receiving many more parcels.
"The universal service hasn’t changed since then, it’s getting out of date and will become unsustainable if we don’t take action.
"So we’ve set out options for reform so there can be a national discussion about the future of universal post.
"In the meantime, we’re making sure prices will remain affordable by capping the price of Second Class stamps."
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Post Office minister Kevin Hollinrake
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Postal Affairs Minister Kevin Hollinrake said that the Government was committed to a six-day service from the Royal Mail.
He told Times Radio: "The Prime Minister has been very clear on this, six-day delivery is really important for many people in this country, many of our citizens, but also for many of our businesses.
"Royal Mail made significant profits in previous years. They’ve had a couple of difficult years not least because of some of the industrial action they’ve been subjected to. But nevertheless, we are keen to see Royal Mail become more efficient.
"I believe the Royal Mail can build a sustainable model. But that sustainable model must be based on a day service."
He also said that Saturday deliveries by Royal Mail were "sacrosanct".
Royal Mail has come under fire after a GB News investigation found books of stamps bought directly from Post Office were deemed "counterfeit"
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Earlier this week, an investigation by GB News found books of stamps bought directly from Post Office and some local supermarkets have been deemed "counterfeit".
Affected recipients are now having to fork out £5 to get their letters – four times the cost of a standard First Class stamp – after Royal Mail doubled the surcharge from £2.50 on October 30.
GB News has seen examples of First and Second Class stamps bought from Post Office sites being branded counterfeit.
Examples include stamps with Queen Elizabeth II’s profile as well as the new King Charles III definitive.