Royal Mail to raise price of stamps to offset losses | Business

Royal Mail has said it will increase the price of first-class and second-class stamps.

The postal firm said the price of a first-class stamp would jump 6p to 76p and the price of a second-class stamp would rise 4p to 65p from 23 March.

The company said the price increases were necessary to ensure the sustainability of its universal service.

Royal Mail said it was operating in a challenging business environment and was likely to make a loss in the current financial year.

Stephen Agar, the managing director of letters at Royal Mail, said: “We are operating in a tough market at present, under the threat of making a loss by 2021.

“These price increases will help us maintain the quality of service that is expected by our customers, while supporting the universal service.”