UK Mail chief executive axed

With chairman and founder Peter Kane stepping up to an executive role as an interim measure, Buswell will leave the company with immediate effect, with the board saying the search for his replacement had already begun.

The move came just weeks after the company parted ways with its operations director, with a replacement from Parcelforce already signed up to begin in the New Year.

The board stressed that expectations for the current and the next financial year remain unchanged as when they were set out last week.

Last Wednesday, the company posted mostly very solid first half results but revealed the recovery in its parcels margin will take longer than expected with arrivals scheduling becoming problematic, while mail margins were lower than anticipated due to competitive bidding to win volume.

Kane, who founded the company and has 40 years' experience in the logistics industry, said: "The board and I would like to thank Guy for his contribution to the company over the past 10 years in his role as chief executive and wish him well for the future."

Shares in UK Mail were down 3% to 310p by 0835 on Wednesday.