Following the Post Office’s controversial decision regarding the rising cost of first class stamps, the Royal Mail has announced a price hike in PO Boxes. The 30 per cent rise in prices has been condemned by consumers through the use of internet watchdog Which?, as they claim it is yet another attack on small businesses, charities and sporting commercial properties.
This rise means the cost of a PO Box has increased fourfold since 2009. Then, the annual cost was only £62, but following the changes which came into effect on Monday, a commercial property owner will have to pay a staggering £222 for the privilege of having a separate postal address for their commercial premises.
The Royal Mail has also been accused of masking this price increase by burying the information in the small print of the document announcing the rise in the price of stamps. Both pricing changes came into effect on the same day.
Which? released a statement on behalf of their users, saying; “Many people use PO Boxes to keep their business and personal correspondence separate.
“They have been stunned by the size of the increase.”
One commercial property owner, who frequents the Which? website, said; “This is frankly obscene! I feel like I have been attacked, mobbed.
“I do understand that prices need to go up, and usually do go up, but by this much? This is outrageous.”
The state-owned Royal Mail has faced its share of difficulties during the double-dip recession, with many of its commercial properties across the country being forced to close due to a severe lack of funding. However, it has also struggled to adapt to the modern age, with private postal firms offering it competition and increasing numbers of small business commercial properties choosing to use email and online correspondence instead of relying on “snail mail”.
Chief Executive of Royal Mail, Moya Greene, admitted that the change in price could prove “difficult” for small commercial property owners who rely on the service, but said: “We have thought very carefully about the impact on our customers and on our own business.
“We know how hard it is for households and businesses when our economy is as tough as it is now. No-one likes to raise prices in the current economic climate but, regretfully, we have no option.
“Royal Mail has lost £1 billion over the last four years; the sustainability of the service is now at risk. Price increases are needed to return the Universal Service to sustainability.”
Do you think the Royal Mail are justified in raising the prices of a selection of their services? Are you a small business or commercial property owner who could potentially struggle as a result of Royal Mail’s decisions? Join in the debate on Movehut’s facebook page.
