Legalize / United Kingdom / Public General Act

Postal Services Act 2011

Type Public General Act

Publication 2011-06-13

Last updated 2024-04-01

State In force

Department Statute Law Database

Source legislation.gov.uk

articles Not indexed

Reform history JSON API

“the appointed day” means the day appointed under section 93(3) as the day on which the provisions of Part 3 come generally into force,

“Postcomm” means the Postal Services Commission,

“the transitional period” means the period beginning with the day on which this Act is passed and ending immediately before the appointed day, and

“the 2000 Act” means the Postal Services Act 2000.

The universal postal service

2

(1) Until the first universal postal service order under section 30 comes into force—

(a) references in Part 3 to a universal postal service are to be read as references to a universal postal service as defined by section 4(1) and (2) of the 2000 Act, and

(b) references in Part 3 to services within the scope of the universal postal service are to be read as references to services that immediately before the appointed day were, according to section 7A of the 2000 Act, not outside the scope of the universal postal service in the United Kingdom.

(2) Section 29 (duty to secure provision of universal postal service) is to have effect during the transitional period as if the references in that section (other than in subsection (2)) to OFCOM included Postcomm.

Provisional designation of universal service providers

3

(1) OFCOM may before the appointed day designate provisionally, with effect from that date, one or more postal operators as universal service providers.

(2) A provisional designation must be—

(a) notified to the person designated,

(b) published in such manner as OFCOM consider appropriate for bringing it to the attention of the persons who, in their opinion, are likely to be affected by it, and

(3) Whilst in force a provisional designation has the same effect as designation under section 35.

(4) A provisional designation ceases to have effect on the making of the first designation under that section.

Regulatory conditions applicable as from appointed day

4

(1) OFCOM must determine before the end of the transitional period what regulatory conditions (“initial conditions”) are to apply to postal operators on and after the appointed day.

(2) Except as mentioned below, the initial conditions applicable to—

(a) universal service providers, and

(b) other postal operators,

must be to substantially the same effect as the licence conditions applying immediately before the appointed day to the universal service provider or (as the case may be) in relation to the corresponding description of operator.

(3) Sub-paragraph (2) does not apply to consumer protection conditions (and, accordingly, references elsewhere in this Schedule to initial conditions do not include consumer protection conditions).

(4) If it appears to OFCOM to be unnecessary to maintain any provision made by the existing licence conditions, sub-paragraph (2) does not require OFCOM to replicate that provision in the initial conditions.

(5) The provisions of Part 3 as to what regulatory conditions may be imposed—

(a) have effect subject to sub-paragraph (2) in their application to the imposition of initial conditions, and

(b) do not apply in relation to the modification of initial conditions.

5

(1) This paragraph applies to licence conditions—

(a) which apply immediately before the appointed day to the universal service provider or other postal operators, and

(b) which contain provision of a kind that (but for this paragraph) could not be contained in any regulatory condition under Part 3.

(2) The provision made by those licence conditions is to be regarded for the purposes of Part 3 as being capable of being imposed by a regulatory condition under that Part (to be known as a “transitory condition”).

(3) Accordingly—

(a) the references in paragraph 4 to initial conditions include transitory conditions, and

(b) paragraph 4(2) and(4) apply in relation to those licence conditions as they apply in relation to other licence conditions.

(4) A transitory condition is (as a result of this sub-paragraph) to be treated as revoked at the time when the first universal postal service order under section 30 comes into force.

6

(1) If OFCOM modify the initial conditions, they may not impose any conditions that could not have been imposed under Part 2 of the 2000 Act.

(2) The provisions of Part 3 about—

(a) the procedure for imposing, modifying or revoking regulatory conditions,

(b) the enforcement of regulatory conditions, and

apply to initial conditions as to other regulatory conditions.

(3) Any decision of OFCOM pursuant to paragraph 4(2) is not to be regarded as an initial price control decision for the purposes of section 59.

(4) This paragraph applies in relation to transitory conditions as it applies in relation to other initial conditions, except that sub-paragraph (2)(a) does not apply in relation to the revocation of a transitory condition.

Recovery of administrative charges incurred by OFCOM

7

(1) This paragraph applies in relation to the first charging year under Schedule 4 (recovery of administrative charges incurred by OFCOM).

(2) OFCOM must prepare a statement of the principles that they are proposing to apply in fixing administrative charges under paragraph 1 of that Schedule for that year (and the charges must be fixed in accordance with those principles), but there is no requirement for the statement to be in force at the beginning of that year or at the time the charges are fixed.

(3) Sub-paragraph (2) has effect instead of paragraph 1(2) of that Schedule.

(4) Paragraph 3(5) of that Schedule has effect as if the reference to the statement of charging principles in force at the beginning of the charging year were a reference to the statement of charging principles relating to the charging year.

Power to extend operation of time-limited licence condition

8

(1) This paragraph applies if it appears to the Secretary of State—

(a) that a licence condition applicable before the appointed day to the universal service provider depends for its continuing operation on forecast figures indicating the volume of business in future periods (“index years”) set out in the condition, and

(b) that the index years and forecast figures set out in the condition do not extend beyond the index year ending 31 March 2011.

(2) The Secretary of State may by order amend that condition so as to specify a forecast figure for the index year ending 31 March 2012.

(3) The power of the Secretary of State is limited to inserting a forecast figure produced by applying the same methods as were used by Postcomm to determine the forecast figure for the index years presently set out in the condition.

(4) If it appears to the Secretary of State that Postcomm has produced, using those methods, a forecast figure for the index year ending 31 March 2012, the Secretary of State may adopt its figure and need not repeat, or examine the basis of, the work done by it in producing that figure.

(5) Before making an order under this paragraph the Secretary of State must—

(a) consult the universal service provider and such other persons as the Secretary of State considers appropriate, and

(b) consider any representations made before the end of the consultation period.

(6) The consultation period, in relation to a person, is the period of 21 days beginning with the day on which the person is consulted.

(7) The requirements of sub-paragraph (5) may be met by consultation and consideration before the passing of this Act.

(8) If an order under this paragraph is made before the appointed day, the reference in paragraph 4(2) to the licence conditions applicable immediately before that day is to be read accordingly as a reference to the conditions as amended by the order.

Anticipatory exercise of powers

9

(1) During the transitional period the provisions of Part 3 relating to—

(a) the designation of a universal service provider, and

(b) the imposition of regulatory conditions on postal operators,

have effect so far as necessary to enable OFCOM to undertake work with a view to making a designation, or imposing regulatory conditions, under that Part as soon as practicable on or after the appointed day.

(2) The work referred to in sub-paragraph (1) includes, in particular, consultation with existing licensed operators and others in connection with the imposition of regulatory conditions.

10

The provisions of Part 3 also come into force at the beginning of the transitional period so far as necessary to enable the making of any regulations, order or scheme by OFCOM or the Secretary of State.

11

(1) The provisions of section 55 and Schedule 8 (information) have effect during the transitional period so far as necessary for the purposes of the carrying out by OFCOM of their functions during or after that period.

(2) The provisions of section 56 (general restriction on disclosure of information) have effect accordingly.

Reliance by OFCOM on work done by Postcomm

12

In carrying out any of their functions under Part 3 OFCOM may rely on anything done by or in relation to Postcomm at any time before the passing of this Act.

Consultation on exercise of existing regulatory functions

13

During the transitional period Postcomm must consult OFCOM before taking any step with a view to modifying or revoking the conditions of a licence under Part 2 of the 2000 Act.

Enforcement action by Postcomm etc

14

(1) This paragraph applies to a contravention of a condition of a licence under Part 2 of the 2000 Act in respect of which Postcomm was in the process of doing something immediately before the day on which paragraph 3 of Schedule 12 comes into force (repeal of Part 2 of 2000 Act).

(2) OFCOM are to have the power to do anything that they consider appropriate to do in relation to the contravention in question.

(3) In particular, OFCOM may continue or discontinue any legal proceedings under section 30 of the 2000 Act (financial penalties) begun by Postcomm in respect of the contravention in question.

(4) References in this paragraph to a contravention include anything that Postcomm considered might be a contravention.

15

(1) This paragraph applies if, at any time on or after the day on which paragraph 3 of Schedule 12 comes into force, OFCOM are satisfied that a person has contravened a condition of a licence under Part 2 of the 2000 Act.

(2) Despite the repeal of that Part, OFCOM are to have—

(a) the power to begin legal proceedings under section 30 of the 2000 Act in respect of the contravention in question, and

(b) the power to do anything else that they consider appropriate to do in relation to it.

References to universal service provider

16

References in this Schedule to the universal service provider, in relation to periods before the appointed day, are to the operator whose identity is for the time being notified to the European Commission as being the provider of a universal postal service in the United Kingdom.

Saving

17

Nothing in this Schedule is to be read as impliedly restricting the generality of the power to make transitional provision by order under section 93(4).

SCHEDULE 10

Part 1 — Modifications of Schedule B1 to 1986 Act

Introductory

1

Paragraphs 1, 40 to 50, 54, 59 to 68, 70 to 75, 79, 83 to 91, 98 to 107, 109 to 111 and 112 to 116 of Schedule B1 to the 1986 Act are to have effect in relation to postal administration orders as they have effect in relation to administration orders under that Schedule, but with the modifications set out in this Part of this Schedule.

General modifications of the applicable provisions

2

Those paragraphs are to have effect as if—

(a) for “administration application”, in each place, there were substituted “postal administration application”,

(b) for “administration order”, in each place, there were substituted “postal administration order”,

(d) for “enters administration”, in each place, there were substituted “enters postal administration”,

(e) for “in administration”, in each place, there were substituted “in postal administration”, and

(f) for “purpose of administration”, in each place (other than in paragraph 111(1)), there were substituted “objective of the postal administration”.

Specific modifications

3

Paragraph 1 (administration) is to have effect as if—

(a) for sub-paragraph (1) there were substituted—

(1) In this Schedule “postal administrator”, in relation to a company, means a person appointed by the court for the purposes of a postal administration order to manage its affairs, business and property.

, and

(b) in sub-paragraph (2), for “Act” there were substituted “Schedule”.

4

Paragraph 40 (dismissal of pending winding-up petition) is to have effect as if sub-paragraphs (1)(b), (2) and (3) were omitted.

5

Paragraph 42 (moratorium on insolvency proceedings) is to have effect as if sub-paragraphs (4) and (5) were omitted.

6

Paragraph 44 (interim moratorium) is to have effect as if sub-paragraphs (2) to (4), (6) and (7)(a) to (c) were omitted.

7

Paragraph 46(6) (date for notifying administrator's appointment) is to have effect as if for paragraphs (a) to (c) there were substituted “the date on which the postal administration order comes into force”.

8

Paragraph 49 (administrator's proposals) is to have effect as if—

(a) in sub-paragraph (2)(b) for “objective mentioned in paragraph 3(1)(a) or (b) cannot be achieved” there were substituted “objective of the postal administration should be achieved by means other than just a rescue of the company as a going concern”, and

(b) in sub-paragraph (4), after paragraph (a) there were inserted—

(aa) to the Secretary of State and OFCOM,

9

Paragraph 54 is to have effect as if the following were substituted for it—

(54) (1) The postal administrator of a company may on one or more occasions revise the proposals included in the statement made under paragraph 49 in relation to the company. (2) If the postal administrator thinks that a revision is substantial, the postal administrator must send a copy of the revised proposals— (a) to the registrar of companies, (b) to the Secretary of State and OFCOM, (c) to every creditor of the company of whose claim and address the postal administrator is aware, and (d) to every member of the company of whose address the postal administrator is aware other than an opted-out creditor . (3) A copy sent in accordance with sub-paragraph (2) must be sent within the prescribed period. (4) The postal administrator is to be taken to have complied with sub-paragraph (2)(d) if the postal administrator publishes, in the prescribed manner, a notice undertaking to provide a copy of the revised proposals free of charge to any member of the company who applies in writing to a specified address. (5) The postal administrator who fails without reasonable excuse to comply with this paragraph commits an offence.

10

Paragraph 60 (powers of an administrator) is to have effect as if the existing text were to become sub-paragraph (1) and as if after that sub-paragraph there were inserted—

(2) The postal administrator of a company has the power to act on behalf of the company for the purposes of any enactment which confers a power on the company or imposes a duty on it. (3) In sub-paragraph (2) “enactment” has the same meaning as in the Postal Services Act 2011 (see section 90).

11

Paragraph 68 (management duties of an administrator) is to have effect as if—

(a) in sub-paragraph (1), for paragraphs (a) to (c) there were substituted—

the proposals as— (a) set out in the statement made under paragraph 49 in relation to the company, and (b) from time to time revised under paragraph 54, for achieving the objective of the postal administration.

and

(b) in sub-paragraph (3), for paragraphs (a) to (d) there were substituted “the directions are consistent with the achievement of the objective of the postal administration”.

12

Paragraph 71(3)(b) (charged property: non-floating charge) is to have effect as if for “market” there were substituted “the appropriate”.

13

Paragraph 72(3)(b) (hire-purchase property) is to have effect as if for “market” there were substituted “the appropriate”.

14

Paragraph 73(3) (protection for secured or preferential creditor) is to have effect as if for “or modified” there were substituted “under paragraph 54”.

15

Paragraph 74 (challenge to administrator's conduct) is to have effect as if—

(a) for sub-paragraph (2) there were substituted—

(2) If a company is in postal administration, a person mentioned in sub-paragraph (2A) may apply to the court claiming that the postal administrator is acting in a manner preventing the achievement of the objective of the postal administration as quickly and efficiently as is reasonably practicable. (2A) The persons who may apply to the court are— (a) the Secretary of State, (b) with the consent of the Secretary of State, OFCOM, (c) a creditor or member of the company.

(b) in sub-paragraph (6)—

(i) at the end of paragraph (b) there were inserted “or”, and

(ii) paragraph (c) (and the “or” before it) were omitted, and

(7) In the case of a claim made otherwise than by the Secretary of State or OFCOM, the court may grant a remedy or relief or make an order under this paragraph only if it has given the Secretary of State or OFCOM a reasonable opportunity of making representations about the claim and the proposed remedy, relief or order. (8) The court may grant a remedy or relief or make an order on an application under this paragraph only if it is satisfied, in relation to the matters that are the subject of the application, that the postal administrator— (a) is acting, (b) has acted, or (c) is proposing to act, in a way that is inconsistent with the achievement of the objective of the postal administration as quickly and as efficiently as is reasonably practicable. (9) Before the making of an order of the kind mentioned in sub-paragraph (4)(d)— (a) the court must notify the postal administrator of the proposed order and of a period during which the postal administrator is to have the opportunity of taking steps falling within sub-paragraphs (10) to (12), and (b) the period notified must have expired without the taking of such of those steps as the court thinks should have been taken, and that period must be a reasonable period. (10) In the case of a claim under sub-paragraph (1)(a), the steps referred to in sub-paragraph (9) are— (a) ceasing to act in a manner that unfairly harms the interests to which the claim relates, (b) remedying any harm unfairly caused to those interests, and (c) steps for ensuring that there is no repetition of conduct unfairly causing harm to those interests. (11) In the case of a claim under sub-paragraph (1)(b), the steps referred to in sub-paragraph (9) are steps for ensuring that the interests to which the claim relates are not unfairly harmed. (12) In the case of a claim under sub-paragraph (2), the steps referred to in sub-paragraph (9) are— (a) ceasing to act in a manner preventing the achievement of the objective of the postal administration as quickly and as efficiently as is reasonably practicable, (b) remedying the consequences of the postal administrator having acted in such a manner, and (c) steps for ensuring that there is no repetition of conduct preventing the achievement of the objective of the postal administration as quickly and as efficiently as is reasonably practicable.

16

Paragraph 75(2) (misfeasance) is to have effect as if after paragraph (b) there were inserted—

(ba) a person appointed as an administrator of the company under the provisions of this Act, as they have effect in relation to administrators other than postal administrators,

17

Paragraph 79 (end of administration) is to have effect as if—

(a) for sub-paragraphs (1) and (2) there were substituted—

(1) On an application made by a person mentioned in sub-paragraph (2), the court may provide for the appointment of a postal administrator of a company to cease to have effect from a specified time. (2) An application may be made to the court under this paragraph— (a) by the Secretary of State, (b) with the consent of the Secretary of State, by OFCOM, or (c) with the consent of the Secretary of State, by the postal administrator.

, and

(b) sub-paragraph (3) were omitted.

18

Paragraph 83(3) (notice to registrar when moving to voluntary liquidation) is to have effect as if after “may” there were inserted “, with the consent of the Secretary of State or of OFCOM,”.

19

(1) Paragraph 84 (notice to registrar when moving to dissolution) is to have effect as if—

(a) in sub-paragraph (1), for “to the registrar of companies” there were substituted—

(a) to the Secretary of State and OFCOM, and (b) if directed to do so by either the Secretary of State or OFCOM, to the registrar of companies.

(b) sub-paragraph (2) were omitted, and

20

Paragraph 87(2) (resignation of administrator) is to have effect as if for paragraphs (a) to (d) there were substituted “by notice in writing to the court”.

21

Paragraph 89(2) (administrator ceasing to be qualified) is to have effect as if for paragraphs (a) to (d) there were substituted “to the court”.

22

Paragraph 90 (filling vacancy in office of administrator) is to have effect as if for “Paragraphs 91 to 95 apply” there were substituted “Paragraph 91 applies”.

23

Paragraph 91 (vacancies in court appointments) is to have effect as if—

(a) for sub-paragraph (1) there were substituted—

(1) The court may replace the postal administrator on an application made— (a) by the Secretary of State, (b) with the consent of the Secretary of State, by OFCOM, or (c) where more than one person was appointed to act jointly as the postal administrator, by any of those persons who remains in office.

, and

(b) sub-paragraph (2) were omitted.

24

Paragraph 98 (discharge from liability on vacation of office) is to have effect as if sub-paragraphs (2)(b) and (3) were omitted.

25

Paragraph 99 (charges and liabilities upon vacation of office by administrator) is to have effect as if—

(a) in sub-paragraph (4), for the words from the beginning to “cessation”, in the first place, there were substituted “A sum falling within sub-paragraph (4A)”,

(b) after that sub-paragraph there were inserted—

(4A) A sum falls within this sub-paragraph if it is— (a) a sum payable in respect of a debt or other liability arising out of a contract that was entered into before cessation by the former postal administrator or a predecessor, (b) a sum that must be repaid by the company in respect of a grant that was made before cessation under section 79 of the Postal Services Act 2011 as is mentioned in subsection (4) of that section, (c) a sum that must be repaid by the company in respect of a loan made before cessation under that section or that must be paid by the company in respect of interest payable on such a loan, (d) a sum payable by the company under subsection (5) of section 80 of that Act in respect of an agreement to indemnify made before cessation, or (e) a sum payable by the company under subsection (5) of section 81 of that Act in respect of a guarantee given before cessation.

, and

26

Paragraph 100 (joint and concurrent administrators) is to have effect as if sub-paragraph (2) were omitted.

27

Paragraph 101(3) (joint administrators) is to have effect as if after “87 to” there were inserted “91, 98 and”.

28

Paragraph 103 (appointment of additional administrators) is to have effect as if—

(a) in sub-paragraph (2) the words from the beginning to “order” were omitted and for paragraph (a) there were substituted—

(a) the Secretary of State, (aa) OFCOM, or

(b) after that sub-paragraph there were inserted—

(2A) The consent of the Secretary of State is required for an application by OFCOM for the purposes of sub-paragraph (2).

, and

29

Paragraph 106(2) (penalties) is to have effect as if paragraphs (a), (b), (f), (g), (i) and (l) to (n) were omitted.

30

Paragraph 109 (references to extended periods) is to have effect as if “or 108” were omitted.

31

Paragraph 111 (interpretation) is to have effect as if—

(a) in sub-paragraph (1), the definitions of “correspondence”, “holder of a qualifying floating charge”, “market value”, “the purpose of administration” and “unable to pay its debts” were omitted,

(b) in that sub-paragraph, after the definition of “administrator” (as modified as a result of paragraph 2 above) there were inserted—

“appropriate value” means the best price which would be reasonably available on a sale which is consistent with the achievement of the objective of the postal administration,

“company” and “court” have the same meaning as in Part 4 of the Postal Services Act 2011,

(d) in that sub-paragraph, after the definition of “hire purchase agreement” there were inserted—

“objective”, in relation to a postal administration, is to be read in accordance with section 69 of the Postal Services Act 2011, “OFCOM” means the Office of Communications, “postal administration application” means an application to the court for a postal administration order under Part 4 of the Postal Services Act 2011, “postal administration order” has the same meaning as in Part 4 of the Postal Services Act 2011, “prescribed” means prescribed by postal administration rules within the meaning of Part 4 of the Postal Services Act 2011.

(e) sub-paragraphs (1A) and (1B) were omitted, and

(f) after sub-paragraph (3) there were inserted—

(4) For the purposes of this Schedule a reference to a postal administration order includes a reference to an appointment under paragraph 91 or 103.

Part 2 — Further modifications of Schedule B1 to 1986 Act: foreign companies

Introductory

32

(1) This Part of this Schedule applies in the case of a postal administration order applying to a foreign company.

(2) The provisions of Schedule B1 to the 1986 Act mentioned in paragraph 1 above (as modified by Part 1 of this Schedule) have effect in relation to the company with the further modifications set out in this Part of this Schedule.

(3) The Secretary of State may by order amend this Part of this Schedule so as to add more modifications.

(4) An order under this paragraph is subject to negative resolution procedure.

33

In paragraphs 34 to 39—

(a) the provisions of Schedule B1 to the 1986 Act that are mentioned in paragraph 1 above are referred to as the applicable provisions, and

(b) references to those provisions, or to provisions comprised in them, are references to those provisions as modified by Part 1 of this Schedule.

Modifications

34

In the case of a foreign company—

(a) paragraphs 42(2), 83 and 84 of Schedule B1 to the 1986 Act do not apply,

(b) paragraphs 46(4), 49(4)(a), 54(2)(a), 71(5) and (6), 72(4) and (5) and 86 of that Schedule apply only if the company is subject to a requirement imposed by regulations under section 1043 or 1046 of the Companies Act 2006 (unregistered UK companies or overseas companies), and

35

(1) The applicable provisions and Schedule 1 to the 1986 Act (as applied by paragraph 60(1) of Schedule B1 to that Act) are to be read by reference to the limitation imposed on the scope of the postal administration order in question as a result of section 68(4) above.

(2) Sub-paragraph (1) has effect, in particular, so that—

(a) a power conferred, or duty imposed, on the postal administrator by or under the applicable provisions or Schedule 1 to the 1986 Act is to be read as being conferred or imposed in relation to the company's UK affairs, business and property,

(b) references to the company's affairs, business or property are to be read as references to its UK affairs, business and property,

(c) references to goods in the company's possession are to be read as references to goods in its possession in the United Kingdom,

(d) references to premises let to the company are to be read as references to premises let to it in the United Kingdom, and

(e) references to legal process instituted or continued against the company or its property are to be read as references to such legal process relating to its UK affairs, business and property.

36

Paragraph 41 of Schedule B1 to the 1986 Act (dismissal of receivers) is to have effect as if—

(a) for sub-paragraph (1) there were substituted—

(1) Where a postal administration order takes effect in respect of a company— (a) a person appointed to perform functions equivalent to those of an administrative receiver, and (b) if the postal administrator so requires, a person appointed to perform functions equivalent to those of a receiver, must refrain, during the period specified in sub-paragraph (1A), from performing those functions in the United Kingdom or in relation to any of the company's property in the United Kingdom. (1A) That period is— (a) in the case of a person mentioned in sub-paragraph (1)(a), the period while the company is in postal administration, and (b) in the case of a person mentioned in sub-paragraph (1)(b), during so much of that period as is after the date on which the person is required by the postal administrator to refrain from performing functions.

, and

(b) sub-paragraphs (2) to (4) were omitted.

37

Paragraph 43(6A) of Schedule B1 to the 1986 Act (moratorium on appointment to receiverships) is to have effect as if for “An administrative receiver” there were substituted “A person with functions equivalent to those of an administrative receiver”.

38

Paragraph 44(7) of Schedule B1 to the 1986 Act (proceedings to which interim moratorium does not apply) is to have effect as if for paragraph (d) there were substituted—

(d) the carrying out of functions by a person who (whenever appointed) has functions equivalent to those of an administrative receiver of the company.

39

Paragraph 64 of Schedule B1 to the 1986 Act (general powers of administrator) is to have effect as if—

(a) in sub-paragraph (1), after “power” there were inserted “in relation to the affairs or business of the company so far as carried on in the United Kingdom or to its property in the United Kingdom”, and

(b) in sub-paragraph (2)(b), after “instrument” there were inserted “or by the law of the place where the company is incorporated”.

Part 3 — Other modifications

General modifications

40

(1) References within sub-paragraph (2) which are contained—

(a) in the 1986 Act (other than Schedule B1 to that Act), or

(b) in other enactments passed or made before this Act,

include references to whatever corresponds to them for the purposes of this paragraph.

(2) The references are those (however expressed) which are or include references to—

(a) an administrator appointed by an administration order,

(b) an administration order,

(d) a company in administration,

(e) entering into administration, and

(f) Schedule B1 to the 1986 Act or a provision of that Schedule.

(3) For the purposes of this paragraph—

(a) a postal administrator corresponds to an administrator appointed by an administration order,

(b) a postal administration order corresponds to an administration order,

(d) a company in postal administration corresponds to a company in administration,

(e) entering into postal administration corresponds to entering into administration, and

(f) what corresponds to Schedule B1 to the 1986 Act or a provision of that Schedule is that Schedule or that provision as applied by Part 1 of this Schedule.

41

(1) Paragraph 40, in its application to section 1(3) of the 1986 Act, does not entitle the postal administrator of an unregistered company to make a proposal under Part 1 of the 1986 Act (company voluntary arrangements).

(2) Paragraph 40 does not confer any right under section 7(4) of the 1986 Act (implementation of voluntary arrangements) for a supervisor of voluntary arrangements to apply for a postal administration order in relation to a company which is a universal service provider.

(3) Paragraph 40 does not apply to section 359 of the Financial Services and Markets Act 2000 (administration order).

Modifications of 1986 Act

42

The following provisions of the 1986 Act are to have effect in the case of any postal administration with the following modifications.

43

Section 5 (effect of approval of voluntary arrangements) is to have effect as if after subsection (4) there were inserted—

(4A) Where the company is in postal administration, the court must not make an order or give a direction under subsection (3) unless— (a) the court has given the Secretary of State or the Office of Communications a reasonable opportunity of making representations to it about the proposed order or direction, and (b) the order or direction is consistent with the objective of the postal administration. (4B) In subsection (4A) “in postal administration” and “objective of the postal administration” are to be read in accordance with Schedule B1 to this Act, as applied by Part 1 of Schedule 10 to the Postal Services Act 2011.

44

Section 6 (challenge of decisions in relation to voluntary arrangements) is to have effect as if—

(a) in subsection (2), for “this section” there were substituted “subsection (1)”,

(b) after that subsection there were inserted—

(2AA) Subject to this section, where a voluntary arrangement in relation to a company in postal administration is approved at the meetings summoned under section 3, an application to the court may be made— (a) by the Secretary of State, or (b) with the consent of the Secretary of State, by the Office of Communications, on the ground that the voluntary arrangement is not consistent with the achievement of the objective of the postal administration.

(c) in subsection (4), after “subsection (1)” there were inserted “or, in the case of an application under subsection (2AA), as to the ground mentioned in that subsection”, and

(d) after subsection (7) there were inserted—

(7A) In this section “in postal administration” and “objective of the postal administration” are to be read in accordance with Schedule B1 to this Act, as applied by Part 1 of Schedule 10 to the Postal Services Act 2011.

45

In section 129(1A) (commencement of winding up), the reference to paragraph 13(1)(e) of Schedule B1 is to include section 71(1)(e) of this Act.

Power to make further modifications

46

(1) The Secretary of State may by order amend this Part of this Schedule so as to add further modifications.

(2) The further modifications that may be made are confined to such modifications of—

(a) the 1986 Act, or

(b) other enactments passed or made before this Act that relate to insolvency or make provision by reference to anything that is or may be done under the 1986 Act,

as the Secretary of State considers appropriate in relation to any provision made by or under this Part of this Act.

(3) An order under this paragraph is subject to affirmative resolution procedure.

Interpretation of Part 3 of Schedule

47

In this Part of this Schedule—

“administration order”, “administrator”, “enters administration” and “in administration” are to be read in accordance with Schedule B1 to the 1986 Act (disregarding Part 1 of this Schedule), and

“enters postal administration” and “in postal administration” are to be read in accordance with Schedule B1 to the 1986 Act (as applied by Part 1 of this Schedule).

SCHEDULE 11

Application of Schedule

1

This Schedule applies if—

(a) the court has made a postal administration order in relation to a company (the “old company”), and

(b) it is proposed that a relevant transfer (within the meaning of section 69(3)) be made to another company (or companies) (a “new company”).

2

While the order is in force, the postal administrator is to act on behalf of the old company in doing anything that it is authorised or required to do by or under this Schedule.

Making of postal transfer schemes

3

(1) The old company may for the purpose of giving effect to the proposed transfer make a scheme (a “postal transfer scheme”) for the transfer of property, rights and liabilities from it to the new company (or companies).

(2) A postal transfer scheme has effect only if—

(a) the new company (or companies) have consented to the making of the scheme, and

(b) the Secretary of State has approved the scheme.

(3) A postal transfer scheme may be made only at a time when the postal administration order is in force in relation to the old company.

(4) A postal transfer scheme takes effect at the time specified in the scheme.

(5) In the case of a proposed transfer falling within section 69(4)(a) (transfer to wholly-owned subsidiary), sub-paragraph (2)(a) does not apply.

Approval and modification of scheme by Secretary of State

4

(1) The Secretary of State may modify a postal transfer scheme before approving it.

(2) After a postal transfer scheme has taken effect—

(a) the Secretary of State may by notice to the old company and the new company (or companies) modify the scheme, and

(b) the scheme as modified is to be treated for all purposes as having come into force at the time specified under paragraph 3(4).

(3) The only modifications that may be made by the Secretary of State under this paragraph are ones—

(a) to which the old company and the new company (or companies) have consented, or

(b) in the case of a proposed transfer falling within section 69(4)(a), to which the old company has consented.

(4) In connection with giving effect to modifications under sub-paragraph (2), the Secretary of State may make incidental, supplementary, consequential, transitional, transitory or saving provision (and different provision may be made for different cases or circumstances).

(5) In deciding whether to approve or modify a postal transfer scheme, the Secretary of State must have regard to—

(a) the public interest, and

(b) any effect the scheme or modification is likely to have on the interests of persons other than the old company and a new company.

(6) Before approving or modifying a postal transfer scheme, the Secretary of State must consult OFCOM.

(7) The old company and the new company (or companies) each have a duty to provide the Secretary of State with any information or other assistance that the Secretary of State may reasonably require for the purposes of, or in connection with, the exercise of any power under this paragraph.

(8) That duty overrides a contractual or other requirement to keep information in confidence.

(9) That duty is enforceable in civil proceedings by the Secretary of State—

(a) for an injunction,

(b) for specific performance of a statutory duty under section 45 of the Court of Session Act 1988, or

Identification of property etc to be transferred

5

(1) A postal transfer scheme may identify the property, rights and liabilities to be transferred by specifying or describing them.

(2) A postal transfer scheme may provide for the way in which property, rights or liabilities of any description are to be identified.

Property, rights and liabilities that may be transferred

6

(1) A postal transfer scheme may transfer—

(a) property situated in any part of the world, and

(b) rights and liabilities arising (in any way) under the law of any country or territory.

(2) The property, rights and liabilities that may be transferred by a postal transfer scheme include—

(a) property, rights and liabilities acquired or arising after the scheme has been made but before the time at which it takes effect,

(b) rights and liabilities arising after that time in respect of matters occurring before that time, and

(3) The transfers to which effect may be given by a postal transfer scheme include ones that are to take effect as if there were no such contravention, liability or interference with any interest or right as there would otherwise be by reason of any provision having effect in relation to the terms on which the old company is entitled or subject to anything to which the transfer relates.

(4) In sub-paragraph (3) the reference to any provision is a reference to any provision, whether under an enactment or agreement or otherwise.

(5) Sub-paragraph (3) has effect where shares in a subsidiary of the old company are transferred as if the reference to the terms on which that company is entitled or subject to anything to which the transfer relates included a reference to the terms on which the subsidiary is entitled or subject to anything immediately before the transfer takes effect.

Dividing and modifying the old company’s property, rights and liabilities

7

(1) A postal transfer scheme may contain provision—

(a) for the creation, in favour of the old company or a new company, of an interest or right in or in relation to property or rights transferred in accordance with the scheme,

(b) for giving effect to a transfer by the creation, in favour of a new company, of an interest or right in or in relation to property or rights retained by the old company, and

(c) for the creation of new rights and liabilities (including rights of indemnity and duties to indemnify) as between the old company and a new company.

(2) A postal transfer scheme may contain provision for the creation of rights and liabilities for the purpose of converting arrangements between different parts of the old company's undertaking into a contract—

(a) between different new companies, or

(b) between a new company and the old company.

(3) A postal transfer scheme may contain provision—

(a) for rights and liabilities to be transferred so as to be enforceable by or against more than one new company or by or against both the new company and the old company, and

(b) for rights and liabilities enforceable against more than one person in accordance with provision falling within paragraph (a) to be enforceable in different or modified respects by or against each or any of them.

(4) A postal transfer scheme may contain provision for interests, rights or liabilities of third parties in relation to anything to which the scheme relates to be modified in the manner set out in the scheme.

(5) The reference here to third parties is to persons other than the old company and a new company.

(6) Paragraph 6(2)(c) and (3) apply to the creation of interests and rights as they apply to the transfer of interests and rights.

Transfer of regulatory conditions etc

8

(1) A postal transfer scheme may contain provision—

(a) for a new company to be treated for all purposes as having been designated by OFCOM under section 35 as a universal service provider, and

(b) for the transfer to a new company of the whole or part of any obligation contained in a regulatory condition to which the old company was subject.

(2) The reference to the transfer of a part of any obligation includes the transfer of any obligation so far as relating to an area specified or described in provision made by the scheme.

(3) A postal transfer scheme may, in consequence of provision made under sub-paragraph (1), make modifications of regulatory conditions to which the old company or new company are subject.

Transfer etc of statutory functions

9

(1) A postal transfer scheme may contain provision—

(a) for the transfer of relevant statutory functions to a new company, or

(b) for relevant statutory functions to be exercisable concurrently by the old company and a new company (or companies).

(2) For this purpose “relevant statutory functions” means powers and duties conferred or imposed on the old company by or under an enactment so far as they are connected with—

(a) the undertaking of the old company to which the postal transfer scheme relates, or

(b) property, rights or liabilities transferred in accordance with the scheme.

(3) Provision within sub-paragraph (1) may apply to relevant statutory functions so far as exercisable in an area specified or described in the provision.

Effect of postal transfer scheme: general

10

(1) At the time at which a postal transfer scheme takes effect—

(a) the property, rights and liabilities to be transferred in accordance with the scheme, and

(b) the interests, rights and liabilities to be created in accordance with the scheme,

are, as a result of this paragraph, to vest in the appropriate person.

(2) For this purpose “the appropriate person” means—

(a) in the case of property, rights and liabilities to be transferred, the new company (or companies), and

(b) in the case of interests, right and liabilities to be created, the person in whose favour, or in relation to whom, they are to be created.

Effect of postal transfer scheme on right to terminate or modify interest etc

11

(1) This paragraph applies where a person would otherwise be entitled, in consequence of anything done or likely to be done by or under this Act in connection with a postal transfer scheme—

(a) to terminate, modify, acquire or claim an interest or right, or

(b) to treat an interest or right as modified or terminated.

(2) The entitlement—

(a) is not enforceable in relation to the interest or right until after the transfer of the interest or right by the scheme, and

(b) after that transfer, is enforceable in relation to the interest or right only in so far as the scheme contains provision for the interest or right to be transferred subject to whatever confers the entitlement.

(3) Where shares in a subsidiary of the old company are transferred, sub-paragraph (2) has effect in relation to an interest or right of the subsidiary as if the references to the transfer of the interest or right included a reference to the transfer of the shares.

Supplementary provisions of postal transfer schemes

12

(1) A postal transfer scheme may—

(a) contain incidental, supplementary, consequential, transitional, transitory or saving provision, and

(b) make different provision for different cases or circumstances.

(2) Nothing in paragraphs 13 to 17 limits sub-paragraph (1).

(3) In those paragraphs any reference to a transfer in accordance with a postal transfer scheme includes the creation in accordance with a postal transfer scheme of an interest, right or liability.

13

(1) A postal transfer scheme may provide, in relation to transfers in accordance with the scheme—

(a) for a new company to be treated as the same person in law as the old company,

(b) for agreements made, transactions effected or other things done by or in relation to the old company to be treated, so far as may be necessary for the purposes of or in connection with the transfers, as made, effected or done by or in relation to a new company,

(c) for references in any document to the old company, or to an employee or office holder of it, to have effect, so far as may be necessary for the purposes of or in connection with any of the transfers, with such modifications as are specified in the scheme, and

(d) for proceedings commenced by or against the old company to be continued by or against a new company.

(2) In sub-paragraph (1)(c) “document” includes an agreement or instrument, but does not include an enactment.

14

(1) A postal transfer scheme may contain provision about—

(a) the transfer of foreign property, rights and liabilities, and

(b) the creation of foreign rights, interests and liabilities.

(2) For this purpose property, or a right, interest or liability, is “foreign” if an issue relating to it arising in any proceedings would (in accordance with the rules of private international law) be determined under the law of a country or territory outside the United Kingdom.

15

(1) A postal transfer scheme may contain provision for and in connection with the payment of compensation to persons other than the old company and a new company if their property, rights, interests or liabilities have been affected by (or as a result of) a postal transfer scheme.

(2) The provision may provide for the appointment of an arbitrator to determine disputes about compensation.

16

A postal transfer scheme may make provision for disputes as to the effect of the scheme—

(a) between different new companies, or

(b) between the old company and a new company,

to be referred to such arbitration as may be specified in or determined under the scheme.

17

(1) This paragraph applies if, in consequence of a postal transfer scheme, a person (“P”) is entitled to possession of a document relating in part to the title to, or to the management of, land or other property.

(2) If the land or other property is in England and Wales—

(a) the scheme may provide for P to be treated as having given another person an acknowledgement in writing of the other person's right to production of the document and to delivery of copies of it, and

(b) section 64 of the Law of Property Act 1925 (production and safe custody of documents) is to apply to the acknowledgement and is to apply on the basis that the acknowledgement does not contain an expression of contrary intention.

(3) If the land or other property is in Scotland, section 16(1) of the Land Registration (Scotland) Act 1979 (omission of certain clauses in deeds) has effect in relation to the transfer as if—

(a) the transfer had been effected by deed, and

(b) the words “unless specially qualified” were omitted from that subsection.

(4) If the land or other property is in Northern Ireland—

(a) the scheme may provide for P to be treated as having given another person an acknowledgement in writing of the other person's right to production of the document and to delivery of copies of it, and

(b) section 9 of the Conveyancing Act 1881 (which corresponds to section 64 of the 1925 Act) is to apply to the acknowledgement and is to apply on the basis that the acknowledgement does not contain an expression of contrary intention.

Proof of title by certificate

18

A certificate issued by the Secretary of State to the effect that any property, interest, right or liability vested (in accordance with a postal transfer scheme) in a person specified in the certificate at a time so specified is conclusive evidence of the matters so specified.

Staff

19

The Transfer of Undertakings (Protection of Employment) Regulations 2006 apply to a transfer (under a postal transfer scheme) of rights and liabilities under a contract of employment (whether or not the transfer would otherwise be a relevant transfer for the purposes of those regulations).

20

If an employee of the old company becomes an employee of a new company as a result of a postal transfer scheme—

(a) a period of employment with the old company is to be treated as a period of employment with the new company, and

(b) the transfer to the new company is not to be treated as a break in service.

Transfers in case of foreign companies

21

(1) This paragraph applies if the old company is a foreign company.

(2) The property, rights and liabilities which may be transferred by a postal transfer scheme, or in or in relation to which interests, rights or liabilities may be created by a postal transfer scheme, are confined to—

(a) property of the old company in the United Kingdom,

(b) rights and liabilities arising in relation to its property in the United Kingdom, and

(c) rights and liabilities arising in connection with its affairs and business so far as carried on in the United Kingdom.

Transfers by two or more postal transfer schemes

22

(1) This paragraph applies if there are two or more postal transfer schemes making transfers to new companies.

(2) Paragraph 7 has effect as if—

(a) in sub-paragraph (1)(a) the reference to property or rights transferred in accordance with a postal transfer scheme included property or rights transferred in accordance with another postal transfer scheme, and

(b) in sub-paragraphs (2)(a) and (3) references to a new company included a company that is a new company for the purposes of another postal transfer scheme.

(3) Accordingly, in relation to anything done by a postal transfer scheme as a result of this paragraph, any reference to a new company in paragraphs 13 to 16 includes a company that is a new company for the purposes of another postal transfer scheme.

SCHEDULE 12

Part 1 — Postal Services Act 2000

1

The Postal Services Act 2000 is amended as follows.

2

Omit sections 1 and 3 to 5 (introductory).

3

Omit sections 6 to 41 (licences for postal services).

4

Omit sections 42 to 50 (the Postal Services Commission).

5

Omit sections 60 to 61A (the Postal Services Commission and the Council).

6

In section 62 (transfer of property etc to nominated company), omit subsections (1) to (5), (7) and (8).

7

For section 63 substitute—

(63) (1) This section applies to— (a) a Post Office company, (b) a Royal Mail company, or (c) a company in the same group as a company within paragraph (a) or (b), that is wholly owned by the Crown. (2) The Secretary of State may direct a company to which this section applies to issue securities to— (a) the Secretary of State or the Treasury (or to a nominee of either of them), or (b) a parent company that is wholly owned by the Crown. (3) A direction must specify— (a) the kind and amount of securities to be issued, (b) the terms of issue, and (c) the date at or by which the securities must be issued. (4) Any shares issued in pursuance of a direction under this section are to be— (a) issued as fully paid, and (b) treated for the purposes of the Companies Acts as if they had been paid up by virtue of payment of their nominal value in cash. (5) A direction under this section may be given only with the consent of the Treasury. (6) Before giving a direction under this section, the Secretary of State must consult— (a) the company to whom the direction is to be given, and (b) if the company has a parent company, its parent company (or, if it has more than one parent company, the parent company that does not itself have a parent company).

8

(1) Section 64 (government investment in certain securities) is amended as follows.

(2) In the heading, for “the Post Office company and its subsidiaries” substitute “ certain companies ”.

(3) In subsection (1), for “the Post Office company or of any of its subsidiaries” substitute

— (a) a Post Office company, (b) a Royal Mail company, or (c) a company in the same group as a company within paragraph (a) or (b).

(4) After that subsection insert—

(1A) Securities acquired under this section may be held by a nominee.

(5) Omit subsection (3).

9

(1) Section 68 (loans by the Secretary of State to the Post Office company etc) is amended as follows.

(2) In the heading, for “the Post Office company and its subsidiaries” substitute “ relevant companies ”.

(3) In subsection (1), for “the Post Office company or any of its subsidiaries” substitute “ a relevant company ”.

(4) After that subsection insert—

(1A) In this Part “relevant company” means— (a) a Post Office company, (b) a Royal Mail company, or (c) a company that is, or has at any time been, in the same group as a company within paragraph (a) or (b).

10

(1) Section 69 (guarantees by the Secretary of State for the Post Office company etc) is amended as follows.

(2) In the heading, for “the Post Office company and its subsidiaries” substitute “ relevant companies ”.

(3) In subsection (1), for “the Post Office company or any of its subsidiaries” substitute “ a relevant company ”.

(4) In subsection (3), for “the Post Office company or the subsidiary concerned” substitute “ the relevant company ”.

11

(1) Section 70 (extinguishment of certain liabilities) is amended as follows.

(2) In subsections (1) and (2), for “the Post Office company or of any of its subsidiaries” substitute “ a relevant company ”.

(3) For subsections (3) and (4) substitute—

(3) Before exercising a power under subsection (1) or (2), the Secretary of State must consult— (a) the relevant company, and (b) if the relevant company has a parent company, its parent company (or, if it has more than one parent company, the parent company that does not itself have a parent company).

12

In section 71(1) and (2) (limit on loans and other arrangements with government), for “the Post Office company and any of its subsidiaries” substitute “ relevant companies ”.

13

(1) Section 72 (reserves of the Post Office company and its subsidiaries) is amended as follows.

(2) In the heading, for “the Post Office company and its subsidiaries” substitute “ relevant companies ”.

(3) In subsection (1)—

(a) for “the Post Office company”, in the first place, substitute “ a relevant company that does not have a parent company (“the relevant company”) ”, and

(b) in paragraphs (a), (b) and (c), for “the Post Office company” substitute “ the relevant company ”.

(4) For subsection (6) substitute—

(5A) No direction under this section may be given to, or in respect of, a company that is not wholly owned by the Crown. (6) Before giving a direction under this section to a company, the Secretary of State must consult the company.

14

In section 73 (statutory accounts of the Post Office company), for “the Post Office company”, in each place, substitute “ the original holding company ”.

15

(1) Section 74 (further provisions relating to the capital structure of the Post Office company) is amended as follows.

(2) In the heading, for “the Post Office company” substitute “ certain relevant companies ”.

(3) In subsection (1), for “the Post Office company” substitute “ a company within subsection (1A) ”.

(4) After that subsection insert—

(1A) A company is within this subsection if— (a) it is a relevant company, (b) it is wholly owned by the Crown, and (c) it does not have a parent company.

(5) In subsection (3)—

(a) for “The Post Office company” substitute “ A company within subsection (1A) ”, and

(b) at the end insert “ (or their nominees) ”.

(6) In subsection (4), after “the Secretary of State” insert “ (or a nominee of the Secretary of State) ”.

(7) In subsection (7)(b), for “the Post Office company” substitute “ the relevant company ”.

16

Omit section 75 (dissolution of the Post Office).

17

(1) Section 77 (publicity requirements for certain accounts and reports of the Post Office company) is amended as follows.

(2) In the heading, omit “of the Post Office company”.

(3) Before subsection (1) insert—

(A1) This section applies to— (a) a relevant company that is wholly owned by the Crown and does not have a parent company, and (b) the original holding company if it is wholly owned by the Crown.

(4) In subsections (1) and (2), for “The Post Office company” substitute “ A company to which this section applies ”.

18

(1) Section 78 (information requirements on the Post Office company) is amended as follows.

(2) In the heading, for “the Post Office company” substitute “ certain relevant companies ”.

(3) Before subsection (1) insert—

(A1) This section applies to— (a) a relevant company that is wholly owned by the Crown and does not have a parent company, and (b) the original holding company if it is wholly owned by the Crown.

(4) In subsection (1), for “, on or after the appointed day, serve notice on the Post Office company” substitute “ serve notice on a company to which this section applies ”.

19

Omit section 79 (exercise of functions through nominees).

20

In section 80(1) (shadow directors), for “the Post Office company” substitute “ a relevant company any part of which is owned by the Crown ”.

21

In section 82(1) (interpretation of Part 4)—

(a) after the definition of “the appointed day” insert—

“the Companies Acts” has the meaning given by section 2 of the Companies Act 2006, “company” includes any body corporate,

(b) for the definitions of “the Post Office company” and “relevant subsidiary” substitute—

any reference to a company being in the same “group” as another company is to be read in accordance with section 15(4)of the Postal Services Act 2011, “the original holding company” has the meaning given by section 15 of the Postal Services Act 2011, any reference to a company being a “parent” of another company is to be read in accordance with section 1162 of the Companies Act 2006, “Post Office company” has the meaning given by section 6 of the Postal Services Act 2011, “relevant company” has the meaning given by section 68(1A) of this Act, “Royal Mail company” has the meaning given by section 2 of the Postal Services Act 2011,

(d) for the definition of “wholly owned by the Crown” substitute—

“wholly owned by the Crown” has the meaning given by section 15 of the Postal Services Act 2011.

22

For the heading of Part 6 substitute “ Postal services: supplementary ”.

23

(1) Section 89 (schemes as to terms and conditions for provision of a universal postal service) is amended as follows.

(2) In the heading, for “a universal postal service” substitute “ postal services ”.

(3) For subsection (1) substitute—

(1) A postal operator may make a scheme under this section in relation to any or all of the postal services provided by the operator.

(4) In subsection (2)—

(a) at the end of paragraph (a), insert “ and ”, and

(b) omit paragraph (c) (together with the “and” before it).

(5) In subsections (3)(a), (4)(a) and (7), for “the universal service provider concerned” substitute “ the postal operator ”.

24

After section 89 insert—

(89A) (1) A postal operator may not make a scheme under section 89 unless— (a) the operator has notified OFCOM of the scheme that the operator is proposing to make, and (b) the operator has carried out a consultation exercise in relation to the proposed scheme in accordance with requirements contained in a notification published by OFCOM. (2) OFCOM may give a direction to a postal operator who has notified a scheme to them under subsection (1)(a) requiring the operator to make such modifications of the scheme as are specified in the direction. (3) Before giving a direction under subsection (2), OFCOM must publish a notification— (a) setting out the terms of the scheme that the operator proposes to make, (b) stating that OFCOM are proposing to give a direction under subsection (2) modifying the scheme, (c) setting out the effect of the proposed modification, (d) giving reasons for making the proposed modification, and (e) specifying the period within which representations may be made to them about the proposed modification. (4) The specified period must be at least one month beginning with the day after the day the notification under subsection (3) is published. (5) OFCOM may not give a direction under subsection (2) unless they have considered every representation and proposal made to them during the period specified in that notification. (6) If the scheme is not in force at the time at which that notification is published, the operator may not bring the scheme into force until such time as OFCOM may direct. (7) OFCOM must publish a notification of any direction that they make under subsection (2). (8) The publication of a notification under this section must be in such manner as OFCOM consider appropriate for bringing its contents to the attention of such persons as they consider appropriate. (9) An obligation imposed on a postal operator by a direction under subsection (2) is enforceable by OFCOM under Schedule 7 to the Postal Services Act 2011 (enforcement of regulatory requirements).

25

(1) Section 90 (exclusion of liability) is amended as follows.

(2) Before subsection (1) insert—

(A1) This section applies in relation to— (a) the provision by a universal service provider of a universal postal service, and (b) the provision by a postal operator of a service in relation to which a scheme under section 89 (made by the operator) applies. (A2) In this section— (a) “the operator” means the universal service provider or the postal operator concerned, and (b) “the service” means the service mentioned in subsection (A1)(a) or (b) (as the case may be).

(3) In subsection (1)—

(a) for “a universal service provider” substitute “ the operator ”, and

(b) for “a universal postal service” substitute “ the service ”.

(4) In subsection (2)—

(a) for “a universal service provider” substitute “ the operator ”,

(b) for “the provider”, in both places, substitute “ the operator ”, and

(5) In subsection (3)—

(a) for “the universal service provider concerned” substitute “ the operator ”,

(b) for “the provider” substitute “ the operator ”, and

26

(1) Section 91 (limited liability for registered inland packets) is amended as follows.

(2) In the heading, for “registered inland packets” substitute “postal packets. ”.

(3) In subsection (1)—

(a) for “a universal service provider” substitute “ a postal operator ”,

(b) for “an inland packet” substitute “ a postal packet ”, and

(4) In subsection (2), for “the universal service provider” substitute “ the postal operator ”.

(5) In subsection (4), for “universal service provider” substitute “ postal operator ”.

(6) Omit subsection (6).

27

In section 93(2) (power to modify sections 89 to 92 of that Act), for “the Commission” substitute “ OFCOM ”.

28

(1) Section 97 (harbour charges on mail-bags) is amended as follows.

(2) In subsection (1)—

(a) in paragraph (a), for “a universal service provider in connection with the provision of a universal postal service” substitute “ a postal operator in connection with the provision of postal services ”, and

(b) in paragraphs (b) and (c), for “such a provider in connection with the provision of such a service” substitute “ a postal operator in connection with the provision of postal services ”.

(3) In subsection (2)(b), for “a universal service provider in connection with the provision of a universal postal service” substitute “ a postal operator in connection with the provision of postal services ”.

29

In section 98 (mail-bags not to be subject to control by harbour authorities)—

(a) in paragraph (a), for “a universal service provider in connection with the provision of a universal postal service” substitute “ a postal operator in connection with the provision of postal services ”,

(b) in paragraph (b), for “such a provider in the provision of such a service” substitute “ a postal operator in connection with the provision of postal services ”,

(c) in paragraph (c), for “such a provider in connection with the provision of such a service” substitute “ a postal operator in connection with the provision of postal services ”, and

(d) in paragraph (d), for “a universal service provider in connection with the provision of a universal postal service” substitute “ a postal operator in connection with the provision of postal services ”.

30

In section 99 (common carriers)—

(a) for “universal service provider” substitute “ postal operator ”, and

(b) for “a universal postal service” substitute “ postal services ”.

31

(1) Section 100 (certain exemptions from postage etc.) is amended as follows.

(2) Omit subsections (1) to (3).

(3) In subsection (4)—

(a) for “universal service provider” substitute “ postal operator ”, and

(b) for “a universal postal service” substitute “ postal services ”.

(4) In subsection (5), for “universal service provider” substitute “ postal operator ”.

32

(1) Section 101 (directions in interests of national security etc) is amended as follows.

(2) In subsection (1), for the words from “such directions” to “functions” substitute “ a direction to OFCOM in connection with the exercise of their functions relating to postal services ”.

(3) In subsection (2), for “the Commission” substitute “ OFCOM ”.

(4) In subsection (3), for the words from “such directions” to the end substitute

a direction (relating to the provision of postal services) to— (a) a postal operator, (b) a description of postal operators, or (c) all postal operators.

(5) In subsection (4), for “licence holder” substitute “ postal operator ”.

(6) In subsection (5), for “the Commission” substitute “ OFCOM ”.

(7) For subsection (6) substitute—

(6) Before giving a direction under subsection (3) to a particular postal operator (as opposed to all postal operators or a description of them), the Secretary of State must consult the operator.

(8) In subsection (7)(a), for “the Commission” substitute “ OFCOM ”.

33

(1) Section 102 (power to ensure compliance with the Postal Services Directive) is amended as follows.

(2) In subsection (1)(a)(i), for “a Community obligation” substitute “ an EU obligation ”.

(3) In subsection (3)(a), for “the Commission” substitute “ OFCOM ”.

34

In section 104(3) (inviolability of mails)—

(a) omit paragraphs (a) and (b), and

(b) before paragraph (c) insert—

(ba) a power conferred by section 104A,

35

After section 104 insert—

(104A) (1) A postal operator— (a) may detain any postal packet in respect of which there has been no payment, or an underpayment, for postage, and (b) may impose a surcharge in respect of that non-payment or underpayment. (2) A postal operator may detain the packet until the correct postage and any surcharge have been paid. (3) OFCOM may give a direction to a postal operator— (a) limiting the amount of any surcharge, and (b) limiting the length of time for which a postal packet may be detained under subsection (2) (and, if a direction is given under this paragraph, that subsection has effect subject to the direction). (4) Where a direction is given to an operator limiting the amount of a surcharge, subsection (2) has effect in relation to the operator (in any case where the surcharge would otherwise exceed the amount specified in the direction) as if the surcharge were equal to the amount specified in the direction. (5) Before giving a direction to a postal operator under this section, OFCOM must— (a) inform the operator that they propose to give it a direction, and (b) allow the operator an opportunity to make representations about the proposal.

36

In section 105 (application of customs and excise enactments to certain postal packets), after subsection (4) insert—

(4A) A postal operator may detain a postal packet to which this section applies until any duties and charges in respect of the packet that are recoverable by virtue of subsection (3) have been paid.

37

After section 105 insert—

(105A) (1) OFCOM may give a direction to a postal operator— (a) limiting the amount of any handling charge, and (b) limiting the length of time for which a postal packet may be detained under section 105(4A) (and, if a direction is given under this paragraph, that subsection has effect subject to the direction). (2) Where a direction is given to an operator limiting the amount of a handling charge, section 105(3) to (4A) have effect in relation to the operator (in any case where the charge would otherwise exceed the amount specified in the direction) as if the charge were equal to the amount specified in the direction. (3) Before giving a direction to a postal operator under this section, OFCOM must— (a) inform the operator that they propose to give it a direction, and (b) allow the operator an opportunity to make representations about the proposal. (4) In this section “handling charge” means a charge payable to a postal operator, in respect of a postal packet, for the performance by the operator of all or any of the duties mentioned in section 105(2)(c).

38

(1) Section 111 (exclusion of liability in relation to postal and money orders) is amended as follows.

(2) In subsection (1)—

(a) for “the Post Office company”, in the first place, substitute “ a Post Office company ”, and

(b) in paragraphs (a) and (b), for “the Post Office company” substitute “ the company ”.

(3) In subsections (2) and (3), for “the Post Office company” substitute “ a Post Office company ”.

(4) In subsection (4)—

(a) for “the Post Office company”, in the first place, substitute “ a Post Office company ”, and

(b) for “the Post Office company”, in the second place, substitute “ the company ”.

(5) In subsection (5)—

(a) for “the Post Office company”, in the first place, substitute “ a Post Office company ”, and

(b) for “the Post Office company”, in the second place, substitute “ the company ”.

(6) In subsection (6)—

(a) for “the Post Office company”, in the first place, substitute “ a Post Office company ”, and

(b) for “the Post Office company”, in the second and third places, substitute “ the company ”.

(7) In subsection (7), for “the Post Office company” substitute “ a Post Office company ”.

(8) After subsection (8) insert—

(8A) In this section and sections 112 to 114 “Post Office company” has the meaning given by section 6 of the Postal Services Act 2011.

39

(1) Section 112 (schemes in relation to postal and money orders) is amended as follows.

(2) In subsections (1) and (2), for “The Post Office company” substitute “ A Post Office company ”.

(3) In subsections (5) and (8), for “the Post Office company” substitute “ a Post Office company ”.

40

(1) Section 113 (recoupment of losses on wrongly paid money orders) is amended as follows.

(2) In subsection (1)—

(a) in paragraph (a), for “the Post Office company” substitute “ a Post Office company ”, and

(b) in paragraph (b), for “the Post Office company” substitute “ a Post Office company (“the company”) ”.

(3) In subsection (2), for “the Post Office company” substitute “ the company ”.

41

(1) Section 114 (special arrangements with other countries or territories) is amended as follows.

(2) In subsection (1), for “the Post Office company” substitute “ a Post Office company ”.

(3) In subsection (2)—

(a) for “the Post Office company”, in the first place, substitute “ a Post Office company ”, and

(b) for “the Post Office company”, in the second place, substitute “ the company ”.

42

(1) Section 116 (the Postcode Address File) is amended as follows.

(2) In subsection (2), for “the Commission” substitute “ OFCOM ”.

(3) After that subsection insert—

(2A) OFCOM may give a direction to the owner for the time being of the Postcode Address File requiring the owner— (a) to issue, and comply with, a code of practice dealing with the making of revisions to the File, or (b) to make such modifications of the code as are specified in the direction. (2B) A direction under subsection (2A) is enforceable under Schedule 7 to the Postal Services Act 2011; but, where it is given to a person who is not providing a postal service, that Schedule has effect with the omission of paragraphs 7(2) and (3), 8(4) and 11.

(4) After subsection (4) insert—

(5) OFCOM may give a direction to the owner of the Postcode Address File as to the terms that may be imposed under subsection (1)(b). (6) If it does so, no term that contravenes the direction may be imposed under that provision.

43

Omit section 117 (records of the former Postmaster General's department).

44

Omit section 118 (supplementary provisions about the Council).

45

Omit section 119 (general restriction on disclosure of information).

46

(1) Section 122 (orders and regulations) is amended as follows.

(2) In subsection (3), omit “9, 10,”.

(3) In subsection (5), omit “8,”.

(4) In subsection (10), omit “10, 38(8), 58(7), 59(2),” and “, paragraph 4 of Schedule 7”.

(5) In subsection (12), omit “8, 9, 30(2),”.

47

In section 123 (directions), at the end insert—

(4) OFCOM may give a direction under this Act only if they are satisfied that the direction— (a) is objectively justifiable, (b) does not discriminate unduly against particular persons or a particular description of persons, (c) is proportionate to what it is intended to achieve, and (d) is transparent in relation to what it is intended to achieve.

48

In section 124(1) (general financial provision), omit paragraph (a).

49

(1) Section 125(1) (interpretation) is amended as follows.

(2) After the definition of “notice” insert—

“OFCOM” means the Office of Communications,

(3) For the definition of “postal operator” substitute—

“postal operator” has the same meaning as in Part 3 of the Postal Services Act 2011 (see section 27(3) to (5) of that Act)),

(4) In the definition of “the Postal Services Directive”, for the words from “implementation” to the end substitute “ improvement of quality of service, as amended from time to time, ”.

(5) After the definition of “public holiday” insert—

“public post office” means any post office from which any postal services are provided directly to the public (whether or not together with other services),

(6) After the definition of “subordinate legislation” insert—

references to the provision of a “universal postal service” are to be read in accordance with sections 30 to 33 and section 65(3) of the Postal Services Act 2011, “universal postal service letter box” has the meaning given by section 86 of this Act, “universal postal service post office” has the meaning given by that section, “universal service provider” has the meaning given by section 65(1) of the Postal Services Act 2011,

50

Omit section 126 (index).

51

Omit Schedule 1 (the Postal Services Commission).

52

(1) Schedule 3 (transfer to the Post Office company: supplementary provisions) is amended as follows.

(2) Omit paragraphs 6(1), 7, 9 and 10.

(3) In the other provisions, for “the Post Office company”, in each place, substitute “ the original holding company ”.

53

In Schedule 4 (transfer to the Post Office company: tax), omit paragraphs 5 and 9.

54

(1) Schedule 5 (acquisition of land) is amended as follows.

(2) In paragraph 1(1), for “required for any purpose in connection with the provision of a universal postal service” substitute “ where it is necessary to do so for the purpose of providing a universal postal service ”.

(3) In paragraph 2(1), for “required for any purpose in connection with the provision of a universal postal service” substitute “ where it is necessary to do so for the purpose of providing a universal postal service ”.

(4) In paragraph 3(1), for paragraphs (a) and (b) substitute—

(a) which it is necessary to acquire for the purpose of providing a universal postal service, or (b) as to which it can reasonably be foreseen that it will be so necessary,

55

Omit Schedule 7 (disclosure of information).

Part 2 — Communications Act 2003

56

The Communications Act 2003 is amended as follows.

57

In section 3 (general duties of OFCOM), after subsection (6) insert—

(6A) Where it appears to OFCOM, in relation to the carrying out of any of their functions in relation to postal services, that any of their general duties conflict with their duty under section 29 of the Postal Services Act 2011 (duty to secure provision of universal postal service), priority must be given to their duty under that section.

58

In section 14 (consumer research), after subsection (6) insert—

(6A) OFCOM must make arrangements for ascertaining— (a) the state of public opinion from time to time about the way in which postal services are provided; (b) the experiences of consumers in the markets for postal services, in relation to the way in which those services are provided; (c) the experiences of such consumers in relation to the handling, by persons providing postal services, of complaints made to them by such consumers; (d) the experiences of such consumers in relation to the resolution of disputes with persons providing postal services; (e) the interests and experiences of such consumers in relation to matters that are incidental to or otherwise connected with their experiences of the provision of postal services.

59

(1) Section 16 (consumer consultation) is amended as follows.

(2) In subsection (1)(b), at the end insert “ (other than postal services) ”.

(3) In subsection (3)—

(a) in paragraph (c), for “any such services or facilities” substitute “ a service or facility mentioned in subsection (4)(a) to (e) ”, and

(b) in paragraph (e), for “such services or facilities” substitute “ services or facilities mentioned in subsection (4) ”.

(4) In subsection (4)—

(a) omit “and” at the end of paragraph (d), and

(b) after paragraph (e) insert—

(f) postal services.

(5) In subsection (13), in paragraph (a) of the definition of “domestic and small business consumer”, for “any such services or facilities” substitute “ a service or facility mentioned in subsection (4)(a) to (e) ”.

60

(1) Section 22(5) (representation on international and other bodies) is amended as follows.

(2) In the definition of “communication functions”, omit the “and” at the end of paragraph and after that paragraph insert—

(ba) functions relating to postal services; and

(3) In the definition of “international meetings about communication”, after paragraph (b) insert—

(ba) the regulation of postal services;

61

(1) Section 26 (publication of information and advice for consumers etc) is amended as follows.

(2) In subsection (2)—

(a) omit the “and” at the end of paragraph (c), and

(b) after paragraph (d) insert—

(e) the customers of persons who provide postal services.

(3) After that subsection insert—

(2A) In subsection (2)(e) the reference to customers of persons who provide postal services includes— (a) persons who wish to be provided with such services, (b) persons who are likely to seek to be provided with such services, and (c) addressees.

62

In section 369(1) (matters in relation to which OFCOM have competition functions), after paragraph (e) insert—

(f) the provision of postal services.

63

(1) Section 370 (OFCOM's functions under Part 4 of the Enterprise Act 2002) is amended as follows.

(2) In subsection (11), for “section 3 does not” substitute “ section 3 of this Act (general duties) and section 29 of the Postal Services Act 2011 (duty to secure provision of universal postal service) do not ”.

(3) In subsection (12), for “section 3(1) to (4)” substitute “ section 3(1) to (4) of this Act or section 29 of the Postal Services Act 2011 ”.

64

(1) Section 371 (OFCOM's functions under Competition Act 1998) is amended as follows.

(2) In subsection (11), for “section 3 does not” substitute “ section 3 of this Act (general duties) and section 29 of the Postal Services Act 2011 (duty to secure provision of universal postal service) do not ”.

Reading this document does not replace reading the official text published on legislation.gov.uk. Contains public sector information licensed under the Open Government Licence v3.0. We assume no responsibility for any inaccuracies arising from the conversion of the original CLML XML to this format.

This text is published under legislation.gov.uk's own terms of reuse, not a Legalize or public-domain licence. legislation.gov.uk
Open Government Licence v3.0 (attribution required)
© Crown and database right. Derived from content available under the Open Government Licence v3.0 from legislation.gov.uk.