Your letters could soon cost you more! Australia Post plans to increase stamp prices
- Replies 41
Even when many of our communications turned digital, there’s nothing quite like the affection and thoughtfulness in a handwritten letter to stay connected with family and friends.
But unfortunately, we have to report that soon, postage stamps could be more expensive than before.
Under the proposed changes by Australia Post, the cost of a standard stamp is set to leap from $1.20 to $1.50 in January next year. This is a 25 per cent increase that would affect all kinds of letters, from postcards to your friend’s Sunday letters.
It may not sound like much, but it does add up–the average household would pay an extra $4.50 a year to send around 15 letters.
However, the price of concession stamps and seasonal greetings stamps will stay the same.
Group Chief Executive Officer and Managing Director Paul Graham has said that an increase in basic stamp prices is deemed necessary for Australia Post to remain financially viable.
'As we are entirely self-funded and receive no ongoing government funding, we need to ensure we reduce losses in our letters business,' Graham said.
The company recently reported a $384.1 million loss in its Letters business.
‘The average household sends around 15 letters a year and, if implemented, the proposed increase would cost about $4.50 extra a year,’ an Australia Post spokesperson said.
This comes after the company raised the basic postage rate from $1.10 to $1.20 on January 3, 2023, the first increase since 2020.
The company acknowledged everyone may not welcome the proposed change and has put forward a proposal to the Australian Competitor and Consumer Commission (ACCC) to give the public an opportunity to have their say on the proposed price rise.
The ACCC can’t approve the rise but can lodge an objection to it–if you think the prices are unfair, we recommend you have your say.
‘We would like to hear from consumers, businesses and other stakeholders about their views on Australia Post’s proposed price increase,’ ACCC Commissioner Anna Brakey stated.
The consultation closes on 29 September 2023. You can learn more and make your voice heard by visiting the ACCC website here.
In our previous article, SDC members voiced their concerns about the changes proposed by Australia Post.
Member @Jan A wrote: ‘Email is a fabulous way of communicating with others, but not everyone has it. My much-loved 99-year-old aunt, who lives in New York, does not have any electronic gear. She enjoys receiving letters. I write to her about every 4 weeks. She is the only person I write letters to any more. She tells me that [she] gets herself a cup of tea or coffee to have while she reads the letters. It's nice to know I am bringing her some happiness in her day.’
‘I still write and get letters via Australia Post. What is to become of my favourite posties?’ member @Liz shared.
However, some of them mentioned that they resorted to the digital alternative.
Member @Suzanne rose said: ‘I do most of my mail sending and receiving through emails, it's free, it's safer, and you can print it out if you really have to. And the amount of paper it saves is incredible.’
‘Birthday and Christmas cards are the only mail I still send, but this is solely because I make those cards myself,’ member @Trudi wrote in a comment.
‘Ten years ago, I used to get a lot of mail because then I had four rental properties across Australia plus my own home, and there was what appeared to be an endless stream of bills and bank statements arriving by mail. I have since sold two properties, and I have changed to email for bills and access my bank statements online,’ the member added.
What do you think of this story, members? Do you think the increase is justified? Let us know in the comments below!
But unfortunately, we have to report that soon, postage stamps could be more expensive than before.
Under the proposed changes by Australia Post, the cost of a standard stamp is set to leap from $1.20 to $1.50 in January next year. This is a 25 per cent increase that would affect all kinds of letters, from postcards to your friend’s Sunday letters.
It may not sound like much, but it does add up–the average household would pay an extra $4.50 a year to send around 15 letters.
Australia Post proposed new prices for standard stamps. Credit: Martha Almeyda/Shutterstock
However, the price of concession stamps and seasonal greetings stamps will stay the same.
Group Chief Executive Officer and Managing Director Paul Graham has said that an increase in basic stamp prices is deemed necessary for Australia Post to remain financially viable.
'As we are entirely self-funded and receive no ongoing government funding, we need to ensure we reduce losses in our letters business,' Graham said.
The company recently reported a $384.1 million loss in its Letters business.
‘The average household sends around 15 letters a year and, if implemented, the proposed increase would cost about $4.50 extra a year,’ an Australia Post spokesperson said.
This comes after the company raised the basic postage rate from $1.10 to $1.20 on January 3, 2023, the first increase since 2020.
The company acknowledged everyone may not welcome the proposed change and has put forward a proposal to the Australian Competitor and Consumer Commission (ACCC) to give the public an opportunity to have their say on the proposed price rise.
The ACCC can’t approve the rise but can lodge an objection to it–if you think the prices are unfair, we recommend you have your say.
‘We would like to hear from consumers, businesses and other stakeholders about their views on Australia Post’s proposed price increase,’ ACCC Commissioner Anna Brakey stated.
The consultation closes on 29 September 2023. You can learn more and make your voice heard by visiting the ACCC website here.
In our previous article, SDC members voiced their concerns about the changes proposed by Australia Post.
Member @Jan A wrote: ‘Email is a fabulous way of communicating with others, but not everyone has it. My much-loved 99-year-old aunt, who lives in New York, does not have any electronic gear. She enjoys receiving letters. I write to her about every 4 weeks. She is the only person I write letters to any more. She tells me that [she] gets herself a cup of tea or coffee to have while she reads the letters. It's nice to know I am bringing her some happiness in her day.’
‘I still write and get letters via Australia Post. What is to become of my favourite posties?’ member @Liz shared.
However, some of them mentioned that they resorted to the digital alternative.
Member @Suzanne rose said: ‘I do most of my mail sending and receiving through emails, it's free, it's safer, and you can print it out if you really have to. And the amount of paper it saves is incredible.’
‘Birthday and Christmas cards are the only mail I still send, but this is solely because I make those cards myself,’ member @Trudi wrote in a comment.
‘Ten years ago, I used to get a lot of mail because then I had four rental properties across Australia plus my own home, and there was what appeared to be an endless stream of bills and bank statements arriving by mail. I have since sold two properties, and I have changed to email for bills and access my bank statements online,’ the member added.
What do you think of this story, members? Do you think the increase is justified? Let us know in the comments below!
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