I thought you were complaining about the cost of shipping, not of the passport itself? Both the courier used by Honda and HMG are commercial outfits that have to compete in the market with others of their ilk.
The only way you'd significantly reduce the shipping element when obtaining a passport would be to convince the relevant authorities that a non-secure courier would be more appropriate. I can't imagine them going for that though...
It's also a little naive to think that a dodgy passport would only be of use to go in/out of the UK. I've been to some places where the passport desks sure as hell aren't linked to any computer system and it would almost certainly be possible to get away with a dodgy passport. Likewise, passports are seen as primary ID in the UK - often used for many other non-transportation purposes. I can imagine that some less than decent people might find an extra one handy.
If the shipping cost irks you so much, why not just do the "on the spot" thing at the passport office next time you're in the UK?