Stamp prices are going up

MAINTAINING SERVICES: The price of stamps is going up from April 7 as the Royal Mail battle declining deliveries (Image: Getty)

Royal Mail is putting the price of postage stamps up on April 7. Martin Lewis has urged households to ‘stock up’ now before the increase arrives.

Prices for postage are increasing across the board with a standard First Class stamp increasing from £1.65 to £1.70, and a large First Class stamp rising by 55p to £3.15. And the standard Second Class is going up too, increasing from 85p to 87p, although the price of a large Second Class stamp will remain unchanged at £1.55. ‘Signed For’ and ‘Tracked’ deliveries will also increase from that date.

Martin Lewis says you can save money by purchasing stamps now ahead of the increase but has one important piece of advice: “For years, every time stamps go up in price I’ve suggested people stock up and bulk-buy in advance, as provided the stamp doesn’t have a price on it and instead just says the postage class, it’s still valid after the rise.

“This has been an effective tactic, as a First Class letter stamp is now £1.65, soon rising to £1.70 – in 2012 it was just 60p. So while it’s not a huge saving this time, you still may as well stock up now.” The price of First Class stamps went up twice last year, in October 2024 and April 2024.

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Royal Mail said the latest increase is a result of it delivering fewer letters. Nick Landon, chief commercial officer at Royal Mail, said: “We always consider price changes very carefully but the cost of delivering mail continues to increase. A complex and extensive network of trucks, planes and 85,000 posties is needed to ensure we can deliver across the country for just 87p.”

The latest hike comes after Ofcom announced plans for Royal Mail to stop Second Class letter deliveries on Saturdays and reduce the service to alternate weekdays. First Class post would still be delivered Monday through Saturday. The regulatory and competition authority reported that the number of letters being delivered to UK homes has fallen from 20 billion two decades ago to 6.6 billion today, reports the Mirror.

Royal Mail estimates the figure will close to four billion a year in the next few years. Reducing the number of Second Class deliveries would save Royal Mail between £250m and £425m, says Ofcom. However, the regulator warned Royal Mail must still improve its service.

Poor performance and missed delivery targets have cost Royal Mail more than £16m in the last 18 months in fines. Ofcom is suggesting reducing the number of First Class post that must be delivered the next day from 93% to 90%, and from 98.5% to 95% for Second Class mail delivered within three days.

Natalie Black, Ofcom group director for networks and communications, said: “The world has changed – we’re sending a third of the letters we were 20 years ago. We need to reform the postal service to protect its future and ensure it delivers for the whole of the UK. But we’re safeguarding what matters most to people – First Class mail six days a week at the same price throughout the UK, and a price cap on Second Class stamps.”

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Emma Gilthorpe, chief executive officer, Royal Mail said: “Ofcom has recognised the urgent need for change so that the future of the Universal Service can be protected for all. Our proposal was developed after speaking to thousands of people across the country and is designed to preserve what matters most for our customers – maintaining a one-price-goes-anywhere service to 32 million UK addresses and First Class deliveries six days a week.

“As Ofcom’s analysis shows, it is no longer financially sustainable to maintain a network built for 20 billion letters when we are now only delivering 6.7 billion. Reform is crucial to support a modern, sustainable, and reliable postal service for our customers, our company and our people.”