Royal Mail to increase stamp prices again next week - how to save cash

The price of a standard first-class stamp will increase from £1.35 to £1.65 - up 30p, or 22 per cent - from October 7. But there is a way to avoid the increase - if you're quick

Stamp prices are set to soar once more next week; however, savvy senders can sidestep the uptick. Come October 7, sending wishes with a standard first-class stamp will climb from £1.35 to £1.65 - a hike of 30p or 22 per cent. Dispatching larger items via large first-class stamps will also take a hit as costs balloon from £2.10 to £2.60 - an increase of 50p or 24 per cent.

This jump is attributed by Royal Mail to a dwindling number of letters posted. It's no secret that stamp prices have been inching up over recent years. Way back in October 2023, a standard first-class stamp would set you back £1.10, rising to £1.25 and then to £1.35 in April 2024.

Prices for additional Royal Mail services like "Signed For", "Special Delivery Guaranteed" and "Tracked" are also set to rise on October 7, reports the Mirror.

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There's some respite for second-class users as prices hold steady at 85p for a standard stamp and £1.55 for the heftier version. Those planning to distribute a bounty of festive greetings this Yuletide have a trick to bypass the price leap, stockpile your stamps now.

If your stamp simply indicates the postal class without displaying a price, it remains valid even after the rates ratchet up. Nick Landon, Royal Mail's chief commercial officer, remarked: "We always consider price increases very carefully. However, when letter volumes have declined by two-thirds since their peak, the cost of delivering each letter inevitably increases."

"A complex and extensive network is needed to get every letter and parcel across the country for a single price travelling on trucks, planes, ferries and in some cases drones before it reaches its final destination [delivered] on foot. We are proud to deliver the universal service, but the financial cost is significant."

This comes as Royal Mail introduced barcoded stamps to replace traditional ones. However, "special stamps" that mark anniversaries and events, along with Christmas stamps, remain valid for use.

For those holding on to old stamps, there's an option to swap them via the Royal Mail "Swap Out" scheme.

To take part in the "Swap Out," you can download the form from the Royal Mail website, request one by calling Royal Mail at 03457 740740, or simply collect one at your nearest Post Office. If online access is all you have without printer facility, fill in a web form to have the physical form sent to you.

After completing the form, post your old stamps back using the Freepost address provided. Then, you can expect to receive your new barcode-equipped stamps within seven working days.