Railways were once the main carriers for the Royal Mail, and handled a large volume of parcels and newspapers. Passengers also often had more luggage than now. Passenger trains had to accommodate such traffic in the Guard's Van; additional traffic on long distance trains required special vans such as this one.
Externally, this van was designed and painted to match the passenger carriages the LMS was building in the 1930s and 1940s: internally, it was just empty space. The side doors made it easy to load off a platform. The end doors allowed it to carry motor cars: the LMS was happy to look after the needs of wealthier travellers, for example those who wished to take their cars on holiday to the Highlands.