NewsBite

Australia Post seeks to lift price of stamps after recording $190 million loss

Australia Post wants Aussies to pay more than $1 to send an ordinary letter through the mail after recording a $190 million loss.

Letters From Hell: Burlesque dancer writes to Ivan Milat

The price of stamps could soon rise to $1.10 in an effort to keep Australia’s post offices open.

Australia Post has written to the Australian Competition and Consumer Commission seeking an increase of the basic postage rate by 10c a stamp from January 2020. “

Last year our letters business lost $190 million — this is after the benefit of significant efficiency savings,” Australia Post chief executive Christine Holgate said in a statement on Wednesday.

“It is important that we responsibly address pricing if we are to protect this important service and keep our network of community post offices open.”

If the increase is approved, it would be the first one in four years, when stamps rose to $1 in 2016.

MORE: How Airbnb is putting country pubs back on the map

An increase would raise the price of stamps to $1.10 after they were last increased to $1 in 2016. Picture: AAP
An increase would raise the price of stamps to $1.10 after they were last increased to $1 in 2016. Picture: AAP

The average household which sends letters would pay an extra $1.50 a year under the new pricing, Australia Post projects.

The 60c price of concession stamps would remain in place for pensioners and veterans and the 65c festive period postage will also stay the same. The service said business and government customers, who send about 97 per cent of Australia’s mail, will continue to get incentives to encourage them to use the post and charities will also continue to receive significant discounts.

Costello: US, China stoush may hit retirees

Australia Post chief executive Christine Holgate said a stamp price increase would help keep community post offices open. Picture: Supplied
Australia Post chief executive Christine Holgate said a stamp price increase would help keep community post offices open. Picture: Supplied

By increasing the price, Australia Post said it will be able to continue keeping regional and remote post offices open and maintain letter delivery five days a week.

“Our posties deliver to more than 12.1 million addresses across the country,” Ms Holgate said.

“It doesn’t matter if they have one letter or 100 for the address, they still need to drive past the letterbox each day.”

Add your comment to this story

To join the conversation, please Don't have an account? Register

Join the conversation, you are commenting as Logout

Original URL: https://www.heraldsun.com.au/business/companies/australia-post-seeks-to-lift-price-of-stamps-after-recording-190-million-loss/news-story/8e605fcdd6f31ffea26ad8b2b0e4c7d4