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Royal Mail sign parcel sorting system deal for Northern Powerhouse

By Chris Dawson July 30, 2020 - 11:46 am

Royal Mail has signed a deal with Beumer Group to design and build the automated parcel sorting system for its new fully automated North West parcel hub in Warrington.

Scheduled for completion in spring 2022, Warrington is the first new automated parcel hubs to be constructed by Royal Mail. Once operational, the hub – which is the size of 4.5 football pitches – will be able to process more than 800,000 parcels per day through the automated parcel sorting system. These parcels will typically comprise items purchased from retailers the evening before, as well as larger parcels more suitable for van delivery… if you’re ears didn’t prick up at this then yes it’s part of Royal Mails modernisation program to enable evening purchases to be processed and delivered the next day.

Close to urban centres like Liverpool and Manchester, and to the warehousing and fulfilment centres of online retailers, the Warrington parcel hub is ideally-situated to support growth in UK e-retail, and the growing demand for next day delivery and the delivery of larger items. It will also significantly increase Royal Mail’s capacity to process parcels at peak volumes. July 2020 ONS data shows that online sales accounted for more than third of all retail sales in the UK. Analysts predict that even as lockdown lifts online sales will continue to account for a significant proportion of sales.

“Royal Mail has played a key role in keeping the UK economy going during the COVID-19 crisis and we want to ensure that we continue to support UK plc as it gets back to business post pandemic. Whilst lockdown is easing, we know that online sales will continue to be the significant part of retail sales and we shall continue to see more parcels pass through our system as a result. Our parcel hubs will ensure that businesses at a local and national level have the parcel delivery capacity they need to meet consumer demands.”
– Simon Barker, National Operations Director, Royal Mail

The Warrington hub will support the development of the Northern Powerhouse by ensuring the region’s businesses have access to a high-quality delivery service to meet consumer demand. It will also add to Royal Mail’s considerable contribution to the regions. Royal Mail employs 20,467 jobs in the North West region.

Work on the second hub, which will be situated at the Daventry International Rail Freight Interchange (DIRFT) in the East Midlands, will commence in August 2020. DIRFT is classed as a nationally-significant infrastructure project and is one of the most successful intermodal logistics parks in the UK. From its location in the logistics ‘golden triangle’, at the heart of the UK’s motorway and rail network, the Hub will have excellent road links to the M1 and M6 motorways, access to the West Coast Main Line, as well as the warehousing and fulfilment centres of online retailers.

  • toby
    3 months ago

    Good to see RM doing this….. Years after everyone else. Sadly i don’t see it improving things that much. With so much to catch up on, and parcel growth going through the roof, by the time the 1st is ready the system will have folded underpressure already.
    The levels of very late deliveries by rm now is quite shocking, im so glad that our busy season is coming to a close, because the build up to xmas is going to be a complete nightmare for online businesses using them.
    Im ready for the standard line being rolled out about how many parcels they deliver…. It is like another yodel!

  • NorthCrystal
    3 months ago

    1st automated sorting system…!!! Tells you a lot about how RM is poorly managed.

    I’m still kinda shocked you can post something with RM without paying for said postage and there’s no consequence. Not that I advise to do so.

  • victor
    3 months ago

    royal mail announces modernisation yet their still pilloried ????????

  • Ifellow
    3 months ago

    They should modernise, reduce costs. Prices getting a bit silly now . Before mong we will be at £4.00 for royal mail 48, which is ridiculous.

    Yet they manage to deliver all the Chinese stuff for 1/8th the price and 100 times the distance with tracking and with out complaint, why?

    • NorthCrystal
      3 months ago

      £4.00 for RM48 ??

      Ours is like £2.3 + fuel surcharge (LOL) + vat, and we’re tiny seller.

      Unless you meant Tracked RM48….

  • Postman Pat
    2 months ago

    What do Parcelforce think about Royal Mail poaching their work???

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