Dumfriesshire, Clydesdale and Tweeddale MP David Mundell has expressed concern following a “postcode lottery” report by Citizens Advice Scotland.
This week CAS published a report on high delivery charges to rural businesses in Scotland.
It followed a survey of businesses across the country by CAS, a survey carried out after concerns were raised that businesses in rural areas such as this were being penalised.
Mr Mundell, who champions small businesses within his large constituency, said that the report showed businesses based in rural areas reported additional charges routinely being applied to items they order online for business use, even when ‘free delivery’ is advertised.
“I am most concerned that more than three quarters of businesses surveyed said that the costs had a ‘substantial impact’ on their business, leading to some having to change the nature of their business, cut wages or even close entirely,” he added.
The report’s key findings included
·Almost nine out of every ten businesses who responded reported that they regularly faced an additional surcharge for delivery due to their geographic location
·More than three-quarters of respondents (76%) felt that the costs of ordering items online had a ‘substantial impact’ on their business
·80% of respondents regularly encountered misleading claims of ‘free delivery’, when in fact surcharges were imposed due to their location
·Additional delivery costs for ordering items online are estimated to have a substantial impact on more than 15,000 businesses in remote and rural Scotland
Amongst the report’s recommendations is one that wherever possible, retailers should offer delivery by Royal Mail. If delivery by Royal Mail is not possible, retailers should give customers a clear reason why this is the case.
It also recommends that sellers and carriers should offer alternative points as options for delivery, working in conjunction with the Post Office and local community hubs such as shops to facilitate this.
Mr Mundell, who is backing the CAS report, said: “Businesses in rural areas such as Dumfriesshire, Clydesdale and Tweeddale are already facing challenges through their location, without having unreasonable extra charges thrust upon them. I wholly support this CAS report, The Postcode Penalty: The Business Burden’, and call on these companies involved to also take note of and meet its recommendations.”
