Price of first class stamp rises to £1.80

Stamp Price Increase Sparks Debate Over Postal Service Performance

Another price hike has taken effect for postage, with Royal Mail raising the cost of a first class stamp to £1.80 and a second class letter to 91p. This marks the eighth adjustment in five years, as the company contends with mounting pressure to meet delivery standards.

According to the postal service, the changes are driven by a shift in postal demand. While fewer letters are being sent, the number of delivery addresses continues to grow, prompting the need for higher costs. Despite these claims, businesses and customers have expressed frustration over the decision, particularly as delivery rates remain below targets.

Royal Mail reported that only 77% of first class letters are delivered within one working day, missing the 93% benchmark. The latest increase follows a pattern of rising postage fees, which have seen a first class stamp cost nearly three times more than it did a decade ago—when it was 64p. A second class stamp, originally 55p, now stands at 91p.

“We always consider price changes very carefully, balancing affordability with the rising cost of delivering mail,” said Richard Travers, Royal Mail’s managing director of letters, during the announcement last month.

Consumer concerns have intensified, with the charity Citizens Advice urging that price rises should reflect service performance. Meanwhile, postal workers have shared frustrations, revealing that staff were instructed to move or conceal mail to meet targets, as highlighted by recent BBC reports.

March brought further scrutiny as Royal Mail’s executives addressed parliamentary inquiries about ongoing delays. Owner Daniel Křetínský acknowledged the service’s shortcomings but emphasized plans to resolve the issue. The Business and Trade Committee’s chair, Liam Byrne, voiced alarm over reports of “significant failures” in the letter service, prompting a letter to the company in February.

From next month, business account holders will also face higher charges, as Royal Mail increased its fuel surcharge by 5% for domestic services and 5.5% for international deliveries. This decision, described as “not taken lightly,” ties to the impact of the Iran war on energy costs.

Dean Morris, a greeting card business operator, noted that delivery times have become more erratic, affecting customer trust. “Sometimes it feels that second class is literally the last thing that Royal Mail look at, in preference to parcels,” he remarked, adding that many online retailers rely on the cheaper option due to its affordability.