UK Economy: 1,500 New Jobs Delivered By DPD

The growth of online retail has prompted another major delivery company to confirm a big investment, which will create 1,500 new UK jobs.

DPD is to spend £175m over the next few years - with the bulk of the money going on a new parcel sorting hub in the East Midlands.

The location for the sorting hub, which will be the company's fourth, has yet to be decided but DPD is looking at sites near Rugby and Leicester.

Ten new depots are also planned over the next 15 months as the firm looks to meet growing demand for its service from online retailers.

The business, which is based in Smethwick in the West Midlands and is a subsidiary of French-owned La Poste, said it had clinched £70m of new business as a result of its Predict service, which uses GPS technology to provide customers with a one-hour delivery window.

DPD chief executive Dwain McDonald said: "The online retail market is expanding rapidly with consumers now prepared to buy a much wider range of goods online."

The announcement follows a similar move by Royal Mail, which said last month it would create some 1,000 jobs over four years as part of a £75m investment in its express parcels business.

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