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New guidelines target unfair parcel delivery charges

Enterprise Minister Fergus Ewing has launched a series of guidelines which will reinforce the message that delivery pricing policies should not discriminate against customers in the Highlands and Islands.

Following the creation of the Parcel Delivery Working Group with watchdog Consumer Futures earlier this year, Mr Ewing announced best practice principles for the delivery of parcels in rural areas in time for Christmas.

The guidelines urge retailers to avoid charging disproportionate costs for delivery, recommend transparency and encourage where there are geographical delivery restrictions, alternative arrangements should be put in place.

Mr Ewing said:

“It is particularly fitting that we have launched these principles as parcel delivery operators prepare for their busiest time of year.

“We would encourage retailers to take on board these guidelines and in turn customers, particularly in the Highlands and Islands will receive a fairer service.

“The guidelines reinforce the message that delivery pricing policies should not discriminate against customers on the basis of their location.

“I am grateful to the members of the Group for their commitment to working towards achieving a positive change and sharing good practice, and to Consumer Futures for their continued support.”

Trisha McAuley, Director for Scotland at watchdog Consumer Futures who co-chaired the Parcel Delivery Working Group said:

“Many people in rural areas are left empty handed or out of pocket when they try to order something online, often faced with companies refusing to deliver or high surcharges and a lack of information until late in the buying process.

“These new guidelines are designed to spread best practice among retailers, so that people in rural areas, in particular, are not disadvantaged.

“It’s a win-win for consumers, businesses and the economy and a good example of different sectors working together to improve services.

“In the run up to Christmas, it is absolutely vital that retailers and their carriers show their commitment to these standards by placing them firmly at the heart of their deliveries for customers.”

Representatives from consumer and business groups including the Highland Council Trading Standards, Citizens Advice Scotland and the Federation of Small Businesses joined Mr Ewing as he launched the guidelines in Inverness on Friday 29^th November.

Gordon Robb, Highland Council’s Trading Standards Manager said: “This agreed Statement of Principles is welcomed by Highland Council Trading Standards and if fully supported by the Society of Chief Officers of Trading Standards in Scotland (SCOTSS).

“The issue of delivery charges continues to be a significant issue for our remote communities and for the local authority Trading Standards services that serve them. Seeking to ensure internet traders comply with the law can only go so far in improving the situation for consumers in these communities and therefore by bringing business on board in supporting the principles contained in this statement, can hopefully bring greater benefits.

“Going forward the existence of these agreed principles will be promoted whenever possible in any interactions Highland Council and other Scottish Local Authority Trading Standards services have with business, in the hope that in time they will be seen as a recognised standard of good practice across the industry.”

David Richardson, Highlands and Islands Development Manager for the Federation of Small Businesses (FSB), said:

“The charges levied against customers for parcel deliveries to remote and rural Scotland, including the Highlands and Islands, have been a source of irritation and frustration for communities and businesses in these areas for many years.

“The FSB is delighted to join the Scottish Parcel Delivery Working Group to try and get to grips with this issue. We look forward to developing a solution which works for everyone involved, including distance-selling small businesses in Scotland and across the UK.”

Margaret Lynch, the Chief Executive of Citizens Advice Scotland said: “It’s been three years since we started our campaign on this issue. Initially it was Skye and Lochalsh CAB who first started asking people in their community how the problem had affected them. Then other rural CAB offices picked up their campaign and it was clear we had really touch an issue of huge concern.

“When we made it a national CAB campaign, we had over 3,000 Scots telling us how they had been hit by misleading websites, poor service and unfair fees. That’s the biggest response to any survey we have ever ran, on any issue.

“Since then we have worked with lots of other consumer groups and partners, and there has been a lot of progress, and we’re pleased that Ministers and the industry are now taking the issue so seriously.

“The UK government meeting on Tuesday, and this Scottish Government summit today are signs of that. We’re happy to attend these meetings and will continue to stand up for the one million Scottish consumers who we’ve found are being penalised just because of their postcode. It’s unacceptable, and we want to see real action in moving towards a delivery service that’s fair for everyone.”

David Martin, Head of Policy and Public Affairs at the Scottish Retail Consortium said:

“Driving Scottish retailers’ success has been their willingness to embrace innovative use of technology and the internet to sell online.

“They have invested heavily in user-friendly websites and have become world leaders in reliable deliveries and convenient ways of buying in-store, at home or on the move.

“The Scottish Government has led the UK in working with us and a wide range of parties to identify best practice principles for parcel delivery that are being launched today.

“We have agreed with our colleagues in the British Retail Consortium to take these Scottish developed principles and apply them in the rest of the UK as well - another great example of Scottish retail being recognised as best in class.”

Notes to editors

The statement of principles is available to view online at: http://www.consumerfutures.org.uk/files/2013/11/Statement-of-principles-for-parcel-deliveries.pdf

The Parcel Delivery Working Group which held its first meeting in July, was developed by the Scottish Government and consumer watchdog Consumer Futures.

The statement of principles is not a code of practice, form of regulation or endorsed kite mark. The use of the statement of principles is voluntary and additional to retailers’ legal obligations.