Recent proposals of the U.K. government to privatize the British Post Office are considered in relation to broader European trends and in terms of economic efficiency. The proposals appear to open the possibility of moving away from a geographically uniform tariff that conflicts with proposals from the EU Commission for the EU, as well as reducing the postal monopoly. Uniform postal charges may or may not improve economic welfare, as there are clear-cut conditions under which their welfare effect can be positive or negative. A practical mechanism is suggested to allow the postal monopoly to be challenged by alternative suppliers without encouraging cream skimming.