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Royal Mail

I shall try to go through the issues that the hon. Gentleman raises. He is absolutely right that the world has changed and people have communications alternatives. That stark fact should concentrate everyone's minds as they stand on the threshold of the dispute. It is why, indeed, a strike would be so tragic for our postal service and those who work in it. The hon. Gentleman referred to the switch from mail, and, as I said in my statement, there is already a highly developed market in parcels. High street retail chains already, sadly, carry adverts saying, "Fed up with postal strikes? We don't use the Royal Mail", and I fear that we will simply see more of that if the strike goes ahead. Some 50 companies account for some 40 per cent. of the mail that is posted by letter every day. If a major shift is made by those companies, away from mail to paperless billing and greater incentives for direct debit payment, it could do permanent damage to Royal Mail's prospects. Again, my fear is that industrial action would only make such a shift more likely. The hon. Gentleman asked about the delivery of pensions and benefits. Those sent through the post are now a fairly small minority; most are paid either directly into bank accounts or through the Post Office card account. As I said, for the minority who still receive benefits through the post, the Department for Work and Pensions will make arrangements to try to ensure that people do not lose out on the money to which they are entitled.