Guernsey Press

Seven of the top 10 bulk mailers quit

GUERNSEY Post is expecting revenue from bulk mail to fall by around £16m. this year as it counts the cost of losing seven out of its top 10 customers.

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GUERNSEY Post is expecting revenue from bulk mail to fall by around £16m. this year as it counts the cost of losing seven out of its top 10 customers.

Companies such as HMV, CD Magpie, The Hut, 7dayshop.com and now Thompson and Morgan have all moved their warehouse operations from Guernsey after the UK Government scrapped a VAT relief previously available for the Channel Islands and other jurisdictions outside the EU.

'The impact caused by the removal of LVCR has been as expected, with over half of Guernsey Post's bulk mailers deciding to leave the island,' said Guernsey Post chief executive Boley Smillie, pictured.

'Our forecast for this year is based on bulk mail revenue falling by around £16m. Despite this challenge, we are delighted that our prices and services have led to the retention of some of our largest bulk mail customers and has proven that the island can still compete in this sector.'

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