Royal Mail stamps to increase by 14 percent – how to beat the price hike | Personal Finance | Finance

As the price of Royal Mail stamps is set to rise, Britons are urged to stock up as a way to save money.

First-class stamps will be hiked to £1.25, up 15p from October 2, but if people buy stamps at their current price this week, they’ll still be able to use them after the price goes up.

With Christmas fast approaching, Britons are urged to take necessary steps now to avoid spending this £1.25 per letter as December and Christmas draws closer.

According to the Pitney Bowes Parcel Shipping Index, the average adult in the UK sends 74 parcels a year.

With this in mind, the average Briton will spend an estimated minimum of £92.50 on stamps a year if they buy them after October 2.

Which stamps will increase in cost in October?

• First Class Stamp, Standard Size Letter: From £1.10 to £1.25 (14 percent increase/15p hike)
• First Class Stamp, Large Letter: From £1.60 to £1.95 (22 percent increase/35p hike)
• Second Class Stamp, Large Letter: From £1.15 to £1.55 (40 percent increase/35p hike)

Standard second-class stamps will remain at their current price of 75p.

It’s the second time the price of standard-letter size first-class stamps have been hiked this year, after they last went up by 16 percent in April.

Despite the price hikes, experts over at Hopewiser believe the public can save a minimum of £11.10 if they swap them out before the hike date.

As long as the stamps bought are postage class, they will still be valid after the hike.

Alternatively, people can use cheaper second-class stamps on standard-sized letters as these prices are not increasing in October.

These tips will be “really useful” as Christmas approaches, and parcel and Christmas card deliveries become more common, the expert stated. 

Jon Good, address validation expert at Hopewiser said: “Although other stamp prices are rising up to 40 percent, standard second-class stamps will remain at 75p.

“Additionally, Signed-For prices have increased up to £2.75 for a first-class letter weighing 100g as well as Worldwide Next Day and Two Day UK services, to £12.45 for a 5kg parcel delivered in 24 hours and £11.95 for a 5kg parcel in 48 hours respectively.”

Save money by swapping out stamps

On July 31, Royal Mail discontinued regular non-barcoded stamps that featured Queen Elizabeth with barcoded versions. If people still have any remaining old stamps, they can exchange them with new barcoded versions. 

People will need to fill out a “Stamp Swap Out” form for stamps worth up to £200, or a “Bulk Stamp Swap Out” form for stamps worth more than £200.

They can then use the money earned from the stamp swap to purchase the stamps following the new price hike. 

Mr Greer explained how to get a standard form:

• “Print out the Stamp Swap Out or Bulk Stamp Swap Out forms from Royal Mail’s website 
• Contact Royal Mail’s customer service team on 03457 740740 and ask for a form to be posted for free
• Visit your local post office where you can pick up a form and envelope in person.”