Royal Mail puts up price of first class

THE PRICE of a first-class stamp went up by 2p - to 30p - today as the Royal Mail prepares to lose its 350-year monopoly of the postal industry next year.

The rise was part of a series of increases in postal service charges prior to the full liberalisation of the industry next January, when any licensed operator will be able to deliver mail to business and residential customers. Second-class postage remains at 21p.

Royal Mail claims it is losing 5p on each first-class stamped letters and 9p on a second class letter. Other rises include the Royal Mail's next-day service, up by 10p, and the guaranteed 9am delivery has gone up by £1 to £7.95. International postage costs have also increased by between 5% and 6.9%.

However, business users who send franked or pre-paid first class mail will pay less as the Royal Mail believes business users are unfairly subsidising smaller customers.

Royal Mail also said it would postpone the release of stamps commemorating the wedding of Prince Charles and Camilla Parker Bowles by 24 hours, to Saturday.