25 May 2007 | Paul Snell
Profits at the UK division of mail firm Business Post have doubled in the last year.
Preliminary results released by the group this week revealed profit at UK Mail, the UK operation of the company, was up 100 per cent, from £3.2 million in 2006 to £6.4 million last year. Revenues at the firm were also up 124 per cent compared with 2006, rising from £40.4 million in 2006 to £90.3 million this year.
The company said opening the market to competition had allowed the firm to secure a number of major contracts, including wins with the BBC and the Department of Work and Pensions (News, 18 January). It also won Royal Bank of Scotland's supplier of the year award.
But the group said its growth in the market was limited by a requirement to charge customers VAT on its services, something the Royal Mail is not required to do.
Total revenue at Business Post was up 17 per cent from £278 million in 2006, to £326 million this year.