Watchdog investigates business parcel market

A probe is under way into the business parcel delivery industry amid concerns competition rules may be being breached.

Communications watchdog Ofcom confirmed it has launched an investigation into the sector to determine whether arrangements between companies were ultimately breaching European Union laws.

It said the investigation would look into “suspected market sharing and/or customer allocation arrangements between operators”.

A spokesman for Ofcom refused to outline which firms were being investigated.

The watchdog said the investigation was at an “early stage”, and stressed it had not yet concluded whether competition law had been breached.

The notice comes just a week after Ofcom fined Royal Mail £50 million for abusing its dominant position by discriminating against its only major competitor for delivering letters, Whistl.