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Postal & Courier Activities in the UK - Market Size, Industry Analysis, Trends and Forecasts (2025-2029)

Adriana De Azevedo Adriana De Azevedo London, United Kingdom Last Updated: June 2025 SIC UK-H53

Revenue

£220.0bn

2025-26

£229.1bn

Past 5-Year Growth

Profit

£XX.Xbn

Employees

2m

Businesses

256k

Wages

£XX.Xbn

Postal & Courier Activities in the UK industry analysis

Industry revenue is forecast to climb at a compound annual rate of 1.7% over the five years through 2025 to €220 billion. The postal and courier industry in Europe is undergoing a significant transformation.  While traditional mail volumes are declining, e-commerce parcel delivery has surged, exacerbated by the COVID-19 outbreak, supporting revenue growth. Many postal and courier companies adapted swiftly, expanding their last-mile delivery capabilities to meet the increased demand. Despite this, the industry faced operational challenges like labour shortages, fluctuating fuel prices and an emphasis on cost-effective and environmentally sustainable solutions.

Trends and Insights

  • Growing e-commerce transforms postal dynamics. E-commerce growth is transforming the European postal and courier services industry, emphasising the need for efficient last-mile delivery and innovative logistics solutions.
  • Digital transformation drives productivity in postal services. Digital transformation initiatives enhance productivity within Europe's postal and courier services industry, optimising operational processes and shaping the future of postal services.
  • Concentration fuels market dominance. Concentration within the European postal and courier services industry fosters market dominance, consolidating power among a few key players and influencing pricing and service standards.
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Top Questions Answered in this Report

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What is the market size of the Postal & Courier Activities industry in the United Kingdom in 2025?

The market size of the Postal & Courier Activities industry in the United Kingdom is £220.0bn in 2025.

How many businesses are there in the Postal & Courier Activities industry in the United Kingdom in 2025?

There are 256k businesses in the Postal & Courier Activities industry in the United Kingdom, which has grown at a CAGR of 8.2 % between 2020 and 2025.

Has the Postal & Courier Activities industry in the United Kingdom grown or declined over the past 5 years?

The market size of the Postal & Courier Activities industry in the United Kingdom has been growing at a CAGR of 2.9 % between 2020 and 2025.

What is the forecast growth of the Postal & Courier Activities industry in the United Kingdom over the next 5 years?

Over the next five years, the Postal & Courier Activities industry in the United Kingdom is expected to grow.

What does the Postal & Courier Activities industry in the United Kingdom include?

Parcel services and Domestic letter services are part of the Postal & Courier Activities industry in the United Kingdom.

How competitive is the Postal & Courier Activities industry in the United Kingdom?

The level of competition is high and increasing in the Postal & Courier Activities industry in the United Kingdom.

Everything you need in one report

  • Reliable market estimates from 2015-2030
  • Competitive analysis, industry segmentation, financial benchmarks
  • Powerful SWOT, Porter’s Five Forces and risk management frameworks
  • Online membership platform with PDF, Word, Excel and PPT exports

Table of Contents

External Environment

Highlights

Trends
  • Regulation & Policy
  • Assistance

Key Takeaways

High barriers to entry hinder new entrants. The European postal and courier services industry features high barriers to entry, including substantial capital requirements and established networks, limiting the entry of new competitors.

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External Drivers

Analysis

What demographic and macroeconomic factors impact the Postal & Courier Activities in the UK industry?

Financial Benchmarks

Highlights

Trends
  • Profit Margin
  • Average Wage
  • Largest Cost

Key Takeaways

Intense competition squeezes profit. The postal and courier services industry faces falling profits in Europe due to intense competition, prompting aggressive pricing strategies and reduced profit margins.

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Cost Structure

Charts
  • Share of Economy vs. Investment Matrix
  • Industry Cost Structure Benchmarks:
    • Marketing
    • Depreciation
    • Profit
    • Purchases
    • Wages
    • Rent
    • Utilities
    • Other
Analysis

What trends impact cost in the Postal & Courier Activities in the UK industry?


Key Ratios

Data tables
  • IVA/Revenue (2015-2030)
  • Imports/Demand (2015-2030)
  • Exports/Revenue (2015-2030)
  • Revenue per Employee (2015-2030)
  • Wages/Revenue (2015-2030)
  • Employees per Establishment (2015-2030)
  • Average Wage (2015-2030)

Country Benchmarks

European Leaders & Laggards

Data Tables

Top and bottom five countries listed for each:

  • Revenue Growth (2025)
  • Business Growth (2025)
  • Job Growth (2025)

European Country Performance

Data Tables

Rankings available for 37 countries. Statistics ranked include:

  • IVA/Revenue (2025)
  • Imports/Demand (2025)
  • Exports/Revenue (2025)
  • Revenue per Employee (2025)
  • Wages/Revenue (2025)
  • Employees per Establishment (2025)
  • Average Wage (2025)

Structural Comparison

Data Tables

Trends in 37 countries benchmarked against trends in Europe

  • Concentration
  • Competition
  • Barriers to Entry
  • Buyer Power
  • Supplier Power
  • Volatility
  • Capital Intensity
  • Innovation
  • Life Cycle

Key Statistics

Industry Data

Data Tables

Including values and annual change:

  • Revenue (2015-2030)
  • IVA (2015-2030)
  • Establishments (2015-2030)
  • Enterprises (2015-2030)
  • Employment (2015-2030)
  • Exports (2015-2030)
  • Imports (2015-2030)
  • Wages (2015-2030)

Methodology

Where does IBISWorld source its data?

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