§ Mr. HammondTo ask the Secretary of State for Trade and Industry what assessment he has made of the 363W costs to small and medium-sized business enterprises trading in Europe of the increase in letter postage rates from the United Kingdom to Europe over the last six months. [101189]
§ Mr. Alan JohnsonChanges to postage tariffs are primarily a matter for the Post Office in consultation with the Post Office Users' National Council (POUNC) to whom the Post Office is statutorily required to refer major proposals for comment. The proposals are formally notified to my Department at the same time as they are referred to POUNC. The increase was prompted by increasing handling costs and is in line with the agreement, set out in the European Postal Services Directive, that prices should be geared to costs. It is still one of the cheapest rates in Europe.