In the digital age, the letter has become a rarity in the age of communication apps and websites.

Yet, for many, particularly seniors, sending a letter or card through the post remains a cherished way of keeping in touch with loved ones.

However, the cost of maintaining this tradition could rise as Australia Post announced a proposal for these services.

The proposed change, which should take effect from 1 July next year, could bump the cost of sending small letters from $1.50 to $1.70.

This move came after Australia Post grappled with significant financial losses in its letters business.

The letter business recorded $361.8 million in losses last financial year.

Letter volumes dropped by 12.9 per cent or 1.76 billion this year—a low not witnessed since the 1950s—indicating the challenges postal services face in an increasingly digital world.

Letters are a more personalised and creative way to communicate with loved ones. Image Credit: Pexels/Suzy Hazelwood

'Australia Post continues to face structural challenges in its letters business that are expected to only get worse,' AusPost's Group Chief Executive Officer and Managing Director Paul Graham stated.

'This proposed increase will primarily impact business and government customers.'

'We remain focused on continuing to deliver for all Australians, especially for communities in rural and regional Australia, but this is only possible if Australia Post is financially sustainable,' Mr Graham added.

For the average household with five to six full-rate stamps yearly, the increase would amount to an additional $1.20 per year.

AusPost also noted that only three per cent of their clients are private individuals, while government agencies and businesses still make up the majority of their clientele.

In consolation, concession and seasonal greeting stamps should remain at 60 cents and 65 cents, respectively.

However, larger letters should see a price hike as well.

An ordinary large letter up to 125 g will increase from $3 to $3.40.
Meanwhile, letters weighing more than 125 g but under 250 g should cost from $4.50 to $5.10.

Additionally, the cost of a priority label could jump from 70 cents to $1, bringing the total cost of sending a priority ordinary small letter from $2.20 to $2.70.

These proposed cost increases were part of a draft notification to the Australian Competition and Consumer Commission (ACCC) as they started looking for feedback from consumers, businesses, and stakeholders.

ACCC Commissioner Catriona Lowe encouraged the public to give their input.

'We will then examine the information provided by Australia Post and the feedback received in the context of our role under the legislation,' Commissioner Lowe emphasised.

This news may come as a disappointment, especially for those who still prefer sending handwritten messages.

Sending a handwritten letter or card still holds sentimental value for some and gives a personal touch that technology cannot replicate.

While the proposed price increase may seem small, it is indicative of the broader shift away from traditional postal services.

For now, AusPost customers may still use their current rates to send out letters just in time for the holidays.

Read more about their Christmas schedule and deadlines here.

Key Takeaways

• Australia Post proposed a raise in their postage rates, which could take effect by 1 July.
• Postage for small letters should increase from $1.50 to $1.70. Prices for large letters would also increase from $3 to $3.40.
• The price increase was in response to significant losses in the letters business.
• Despite the proposed price hike, concession and seasonal greeting stamps will remain at 60 cents and 65 cents, respectively.

Do you still enjoy sending and receiving letters the old-fashioned way, or have you embraced digital communication? How will the proposed postage rate increase affect you? Please share your thoughts with us in the comments section below!

 

[mjm9]

Can Pensioners still obtain discounted packs of Stamos//

You can get 10 packs of 5 concession stamps each year with an eligible pension card. You sign up for a MyPost Concession card. The stamps have no denomination of them. You can use them anytime you like & they are cheaper than Christmas rate .. at the moment. They can only be used for domestic letters .. not overseas letters or parcels. Larger letters require two or more concession stamps.

 

[deni67]

Then online shopping must be keeping Australia Post afloat and then some

Because I shop at lot at Temu our deliveries are delivered by couriers, even at night and Saturdays and Sundays.

 

[Babster]

If you send a letter to the same suburb you live in then it still costs the same to post a letter to parts of remote Australia. The distance is so much greater. Australia Post does a great job

 

[Rustyas]

Firstly, I would question the supposed loss. It appears to me they are adding additional costs unrelated to mail. They separated letter mail from parcel mail to make the latter appear more profitable. Now is the time to recombine the two. Mail delivery has already been reduced to twice a week, and there is no reason why the two cannot be combined. The Postie already delivers small parcels.

 

[Southmelbswans]

the one very important fact that people miss is this-- Aust Post is not a private business but is in fact the old post office which was a government run operation to provide a service to all Australians-- It doesn't have to make a colossal profit as it is a public service. Now that doesn't mean that it has to run at a loss and neither does it mean that the CEO and board members have to be the fat cats , feeding off the service either

Unfortunately as a Government Business Enterprise they ARE required to make a profit and pay a return to the government. With a drop in letters to deliver they obviously do not require so many posties as rounds could be amalgamated - say three become two. Then I am sure the unions will scream blue murder> Maybe the union should fund the annual shortfall??????????????

 

[mylittletibbies]

Firstly, I would question the supposed loss. It appears to me they are adding additional costs unrelated to mail. They separated letter mail from parcel mail to make the latter appear more profitable. Now is the time to recombine the two. Mail delivery has already been reduced to twice a week, and there is no reason why the two cannot be combined. The Postie already delivers small parcels.

I really don't understand what the hullabaloo is all about.
The average family, it states, uses five or six stamps a year ($1.20/year) for heaven's sake.
Pensioners still only pay the reduced rate.
Why are we whinging???

 

[Skydiver]

I have a Concession Card from Australia Post which allows me to buy packets of 5 x 60 cent stamps for $3. A regular letter needs 1 stamp and a larger envelope needs 2 stamps, and I use them to send in my puzzle answers to Australian Women's weekly.

 

[StarTrekker]

I use a PO BOX to receive my mail ( its getting too expensive for a pensioner like me I have no choice - should be a discount for pensioners ! .

I have a PO Box due to the fact that I have a pub and a Maccas down the road and the customers use my letterbox as a rubbish bin.
Cost of the box is becoming unviable but what am I to do if I don't want my mail destroyed.

 

[Chicky]

They want us to do everything digital, they are pushing.

 

[harveja]

I use the pensioner stamps. You have to sign p for them at the Post Office, 65 cents a stamp! You can also use them for sending parcels. You’re entitled to $30 a year. As I don’t send a lot of letters these suit me, I also sent a small parcel to my niece which weighed jut under 250 gms and it cost me 1.80!

 

[biribo]

So one minuscule part of AusPOST business can generate upward of $2,640,000,000 (per 1.76bil Letter per year) Along with the Billions made from all other services the business offers. It's a bit rich (pardon the pun) to cry poor.

 

[Mr Chips]

I recently started writing letters to an acquaintance who I have not seen for some time. Writing the first letter was a novel experience as I cannot remember how many years ago I wrote a letter, probably around 30 years ago. So, I got out my old fountain pen and started to write my letter. A couple of things came to mind. The first was how unique a feeling it was to write again instead of typing, it was somehow very satisfying. The second thought was how precious a letter is, you cannot lie because you would have to scribble out anything you wrote so a letter is a much more honest method of communication.
Anyhow, off I went to the post office to post my intra-state letter, I had to buy a sheet of stamps, which cost me $10.00. After the cost of the nice writing paper and envelopes, I was looking at a substantial investment. It was worth it, but the thought came across that no wonder people have gone to emails.

 

[deni67]

I recently started writing letters to an acquaintance who I have not seen for some time. Writing the first letter was a novel experience as I cannot remember how many years ago I wrote a letter, probably around 30 years ago. So, I got out my old fountain pen and started to write my letter. A couple of things came to mind. The first was how unique a feeling it was to write again instead of typing, it was somehow very satisfying. The second thought was how precious a letter is, you cannot lie because you would have to scribble out anything you wrote so a letter is a much more honest method of communication.
Anyhow, off I went to the post office to post my intra-state letter, I had to buy a sheet of stamps, which cost me $10.00. After the cost of the nice writing paper and envelopes, I was looking at a substantial investment. It was worth it, but the thought came across that no wonder people have gone to emails.

I tried to write a 'real' letter to my daughter in Perth as a personal touch, not online.
It started off ok but then my hand started to cramp up and I got the shakes, it became so painful that I had to stop mid way, and by then it was a pretty mess and you could barely understand it.
I went back to online communications

 

[Mr Chips]

I tried to write a 'real' letter to my daughter in Perth as a personal touch, not online.
It started off ok but then my hand started to cramp up and I got the shakes, it became so painful that I had to stop mid way, and by then it was a pretty mess and you could barely understand it.
I went back to online communications

You should have sent the legible part with a quick explanation, I am sure she would have loved the personal touch. I suffer from similar problems but I still just break off and send what I have leaving anything else to another later letter. The lady I write to sends me beautifully written letters up to eight pages long and often contain a postcard or photo from her area. It makes me jealous of her ability but hey, she is a lot younger than me.