The cost of sending a first class letter in the UK has climbed to £1.80, marking the eighth price hike in just five years. This 10p increase comes as Royal Mail faces intense scrutiny for consistently missing its delivery targets.
A second class stamp has also risen by 4p to 91p. Royal Mail justifies the increases by citing a sharp decline in letter volumes coupled with a growing number of addresses it must serve. However, this rationale is meeting fierce resistance from businesses and consumers, who argue that higher prices are unacceptable given the company's declining performance.
Recent figures reveal that only 77% of first class mail is delivered within one working day, far below the official target of 93%. This performance gap has sparked complaints from MPs and the public, leading to parliamentary hearings where Royal Mail executives were questioned about ongoing postal delays.
"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, when announcing the rises last month.
Dean Morris, a greeting card business owner, shared his frustrations with delivery reliability. "Sometimes it feels that second class is literally the last thing that Royal Mail looks at, in preference to parcels," he noted, explaining that delayed orders damage his company's reputation even when the economic impact is limited.
The price surge means a first class stamp now costs nearly three times what it did a decade ago, when it was priced at 64p. Second class stamp prices, regulated by Ofcom, typically rise with inflation each year.
Adding to the controversy, recent BBC reports alleged that postal workers were instructed to hide undelivered mail to create the illusion of meeting targets. Royal Mail stated it takes such claims "very seriously" while maintaining that 92% of letters are delivered on time.
Consumer groups like Citizens Advice have condemned the price increases, arguing they should be directly linked to service performance. With Royal Mail also implementing higher fuel surcharges for business customers next month, citing global energy market pressures, the company finds itself navigating a perfect storm of rising costs, operational challenges, and eroding public trust.