The plan is for a new combined mail centre for Coventry and Northampton to be located at junction 15a of the M1 on the Swan Valley Industrial Estate. It would replace two existing sites.

The closure of the existing Coventry sorting office could mean the loss of 500 jobs, and has prompted calls for strike action.

Communication Workers' Union official Mick Kavanagh said the fight to save the Coventry site would continue.

He said: "We are not surprised that this has happened. In my opinion Royal Mail made up their minds up about it 18 months ago when they first announced the consultation. But it's not over yet. It's just the beginning of our campaign. The battle starts now."

Workers were told operations would move 30 miles away to Northampton, with a two to three-week period of consultation beginning with the CWU and its members.

While staff will be offered relocation, many say commuting will not be practical with rising petrol prices.

Bosses at Royal Mail said Northampton was chosen because of its closeness to other key distribution sites.

Michael Stockdale, area general manager, said: "In a highly competitive postal market, these plans will allow us to replace buildings which are not fit for a modern distribution company with purpose-built units using the best technology available for the benefit of our customers and employees.

"Royal Mail will continue to be a major employer across the Coventry and Northampton postcode areas."

The location of the new delivery office is still being finalised and it is expected it will be ready for service in the autumn of 2009.
The mail centre should be operational in 2010.