ODUG developing business case
This data request has been included in the work ODUG is undertaking on a National Address Dataset. For further information, please see http://data.gov.uk/blog/national-address-dataset-benefits
Data request description:
Royal mail postcode data
The data is available but the licensing terms are too restrictive
On top of a fee for the data (which seems quite reasonable) Royal mail then charge for the amount of searches done against that data. There is no financial effect felt by the Royal Mail from the volume of use. They charge around £4000/yr for unlimited use which is what you need if you use it for your checkout processes on your website, even though this will be far from unlimited. For internal use they then charge £75/workstation/yr which seems rather random to me... We would actually be happy enough to pay the £300/yr fee and update fees. The license fees however are prohibitive and restrictive.
address lookups and verification for online ordering to ensure spelling and accuracy. Use in our backend systems again to verify addresses.
By hosting the data on our own servers we also speed up online transactions. Otherwise we have to wait for a callback from the third party providers servers which can potentially slow down page load times.