Emer Walsh’s report on the contribution by David McRedmond (CEO of An Post) at UCC’s annual commerce conference last Thursday gives an informative insight into the mindset of the management of one of this country’s national treasures.
Mr McRedmond’s observation that “The price of a stamp is irrelevant, whether it’s 70c or €1 or €2” shows contempt for his customers and ignorance of a basic economic concept, price elasticity of demand. He boasts “I increased the price by 40%” on April 13, 2017, from 72c to €1.
What he doesn’t appear to concede was that this led to a 13.6% reduction in the number of domestic letters posted from 192,427 in 2017 to 166,278 in 2018.
He claims “I got the law changed to remove the price cap”.
It is unclear what impact this had on An Post’s ability to price its products as appropriate.
Between 2012 and 2016, when the price cap imposed by government in the 2011 act was in operation, the price of a domestic letter increased by 31% from 55c to 72c, and indeed between 2001 and 2007, when the government prescribed a system of ex ante price approval, prices increased by 45% from 38c to 55c.
Removal of the price cap didn’t mean that Mr McRedmond could do what he liked with regard to pricing. An Post must still comply with the obligation set out in section 28 of the 2011 Act, and in European Law, that prices shall be affordable, cost-oriented, transparent and non-discriminatory.
Furthermore An Post is also subject to competition law. In this regard the Postal Notice issued by the European Commission on February 6, 1998, (98/C 39/02) made it clear that subsidising activities open to competition from regulated services was likely to distort competition, and could amount to an abuse by an undertaking holding a dominant position within the community.
The regulatory accounts published by An Post show that the domestic universal service has been profitable for the last seven years (2018 to 2024), contributing a profit of €17,858,000 in 2024 and €124,348,000 in total over the seven years. The domestic letter service was a major contributor to these profits, making a profit of €11,379,000 in 2024 and €43,056,000 over the seven years, despite losses in 2021 and 2022. Which raises the question why is another inflation busting price increase of 12% needed later this month, on top of the 18% increase last year?
More concerning is that for the last four years the same accounts disclose that An Post lost over €100,000,000 providing domestic services that it is not obliged to provide. A detailed description of these services is not disclosed in the accounts.
The increase in trade debtors, averaging €86-75,000 over the last four years accounts, implies that significant working capital is also being tied up in providing these services. Mr McRedmond needs to assure his customers that An Post is not increasing the price of the ordinary domestic services to cross-subsidise the services An Post is not obliged to provide, and most probably in competition with other companies.
If this is the case, it also raises a concern that ultimately An Post may be in serious financial difficulties. Since 2013, An Post has not paid the increases its pensioners are due under the terms of the superannuation scheme approved by ministers in 1990 and as described by minister Noel Dempsey in Dáil Éireann in February 2005.The failure of ministers to authorise an increase in pensions of 7%, backdated to January 1, 2025, agreed with the CWU union last September to partially compensate the pensioners affected suggests that ministers are equally concerned about the financial position of the company. Action is needed to put the company and its pension fund on a sound footing before it is too late.
John Hearn, Malahide, Co Dublin
Ireland turning blue
In recent years, distinguishing between the Irish national team and the Leinster senior side has become increasingly difficult. Both select the same personnel, play the same patterns, and operate under the same reassuring assumption that this is what “Irish rugby” should look like.
For supporters from other provinces, cheering for Ireland can now feel like endorsing a private school alumni project that is being stress-tested abroad.
In addition, the idea of selecting players from the southern regions appears to have been misinterpreted as ‘southern hemisphere.’ Maybe the Irish setup will rebrand as “Ireleinster” and we will all be cheering for “na Gorma” during this Six Nations campaign.
At least that would be a perfectly rational response to an Irish selection policy that treats one province as a national team and the others as character-building exercises. It should not be interpreted as disloyalty, but rather as an attempt to maintain conceptual clarity.
Diarmuid Ó Cinnéide, Garryowen, Limerick
Untapped Reserves
Much has been written about Ireland’s security and defence capabilities. It is widely recognised that improvements in this area are needed.
One simple, straightforward, way to address the deficiency in our preparedness stands out above all others. It is cost effective and readily to hand — repurpose the
Reserve Defence Forces. Other European partners have reserve units numbering in the thousands; Poland (with no mandatory conscription) has in the order of 50,000 reserve soldiers; Finland (with a qualified national service requirement) has 870,000 reservists; Spain has a reserve, without conscription, of 24,033 personnel.
Ireland, with a small Reserve DF of 1,382 men and women (April ‘23), has the capacity to increase this number in short order. We congratulate ourselves on our well educated youthful population, technically proficient, and looking to utilise their skills without emigrating. With a little imagination and forward thinking, this potential can be realised in the young person’s and the state’s interest.
The structures need to be dusted off (remember the much-maligned FCA), a small financial investment is required and service would be voluntary and in many circumstances, cost neutral.
How many students of IT or AI would not welcome the chance to work with state of the art military equipment? How many history or political science scholars would not help in analysing open source (OSInt) intelligence from eastern Europe or the US? How many technically-minded and skilled young people would not jump at the chance to service an ageing, but serviceable, light armoured vehicle? With a little lateral thinking, educational institutions, particularly technical colleges, could be enlisted to grant academic credits for such work. It works elsewhere.
The notion of “whole of society” involvement is gaining currency in Europe and worldwide. This initiative could work to the benefit of Ireland’s citizens and of society at large.
Tim O’Connell, Capt, Irish Defence Forces (ret’d),Balinteer, D16
Marina let down by no toilet
I am writing to express both my admiration and my deep frustration regarding the current state of Marina Park.
As a regular visitor, I must first commend the Cork City Council employees who have done a truly magnificent job on the park itself. The landscaping and overall design have transformed the area into a world-class amenity for the people of Cork.
However, this excellent work is being overshadowed by a baffling lack of basic facilities. A purpose-built toilet building has been standing on-site for some time, looking entirely completed, yet it remains fenced off from the public. We were originally led to believe that these facilities would open in October 2025, but we are now well past that date with no sign of progress.
It is disheartening for families, elderly visitors, and tourists to enjoy such a beautiful space only to find that the most basic of human needs has been ignored or trapped behind a fence that nobody can access. To make matters worse, there seems to be a complete information vacuum; nobody appears to know why the building remains closed or when the “Coming Soon” promise will finally be fulfilled.
Rumour has it that it will open in February. I will keep my fingers crossed or perhaps my legs!
I urge the council to provide clarity on this matter as soon as possible.
Niall O’Sullivan, Ballincollig, Cork City
Writers’ Week wrangle
It is disappointing to read that sour grapes still linger among some in Kerry over public funding for Listowel Writers’ Week (Listowel literary event looks to turn the page on recent funding controversy).
Nobody in Listowel came out smelling of roses when the Writers’ Week festival board led by Jimmy Deenihan summarily dismissed the long-serving volunteers in favour of an outside curator in 2022. The fallout out from that gross miscalculation brought Ireland’s oldest literary festival to its knees and lots of negative publicity including the resignation of long-time festival president, Colm Tóibín.
Thankfully, the issues that led to the above have now been resolved and credit must be given to Ned O’Sullivan for sorting out all of the governance issues and bringing a bit of much needed optimism and chutzpah to the role of chairman.
If some people want to continue to stir the pot perhaps they might be better placed to turn their grievances to the government who allowed the Arts Council to squander over €6m of tax payers money on a botched IT system, an amount that would cover the subvention to Listowel Writers’ Week for 100 years.
All roads lead to the famed North Kerry town for the annual festival at the end of May, as it celebrates its 55th anniversary. Some big names are lined up including returning giants of literature. Not to be missed.
Tom McElligott, Listowel Co Kerry
Brazil fills Irish beef gap
The cattle herd in Ireland, Britain, and the EU has been in decline for many years.
So, last year, the volume of Irish exports of beef to Britain fell by 5% according to Bord Bia.
Irish beef business had to source extra beef from outside Europe to supply the same quantity of beef to existing British customers as they did in 2024.
Aside from Ireland, Britain, also imports beef from Australia, Brazil, and New Zealand.
Dawn Meats, a major employer of Irish workers, imported 1% of the beef they exported to Britain last year from Brazil.
If they did not supply this business another British or Irish firm would.
Incidentally, during 2025, Brazil imported over €300m of pharmaceuticals from Ireland. Irish farmers also used over 212,000 tonne of maize and soya beans from Brazil during 2025 to feed their dairy cows and cattle
Liam de Paor, Carrickane, Co Cavan
No plan for flood plain
With all of the unfortunate people and families currently affected by the rain and flooding, not to mention rail services and businesses, is it now a good time to look yet again at the link between building housing estates etc. at the bottom of mountains and on flood plains, and said flooding?
It may well also be worth a look at the felling of woodland and trees which absorb huge amounts of water from said ground all year round.
Finally, does all of the annual burning which takes place on hills and mountains all over rural Ireland affect the ability of the ground to hold water? I don’t believe burnt ground has the ability to absorb much rain.
Peter White, Milltown, Co Kerry
