The company wants more of its business services to be exempted from its universal service obligation and for the terms on which it grants access to its delivery network to rivals reviewed.
It argued: "Our wholesale business and all retail business mail (with the exception of meter mail) should not be regulated, and instead should be subject only to competition law."
Royal Mail also recommended that postal market regulation, which is handled by Postcomm, should be incorporated within the scope of wider communications market regulation. This is on the grounds that postal services are increasingly competing with other media and communications technologies.
The company claims the current price control running to 2010, applied by Postcomm, has resulted in it suffering a £2.6bn shortfall because Postcomm drew up the control on the assumption the mail market would grow, but it has declined instead.
It wants the universal service to survive as a six-day, first and second class service which is geographically uniformly priced.
One of its key proposals to safeguard the service was that it should retain its exemption from VAT, which is being challenged by non-exempt rival TNT in the European courts.
Another was that it should be given access to equity capital to accelerate its modernisation, but it did not call for an injection of private capital, as was recommended by Postcomm in its submission to the review.
Royal Mail also rejected another Postcomm recommendation that its business be split into two parts, with the Post Office in government hands and the delivery and sorting side in public/private hands.
It said it should remain an integrated business, arguing that losing economy of scale would jeopardise the radical operational transformation it needs to make.