Lord Bracknell
On fire
Ok, but it doesn't receive any public money, and nor should it.
The Royal Mail SHOULD get public money.
It costs a lot more than 24 pence to collect a letter from a letter box in rural Northern Ireland and deliver it to an address in rural Sussex. But that is all the customer has to pay.
The new competitors for bulk mailing aren't in the least bit interested in taking on the whole of Royal Mail's business. But their creaming off of the lucrative city centre to city centre business is holding down prices and forcing Royal Mail to plough any profits it can scrape together into keeping the unprofitable bits of the business going. The competitors just wouldn't bother.