Rising post prices ‘would hurt small businesses’

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PLANS to scrap controls on postal prices will hit small businesses, according to the SNP.

The move – currently out to consultation by regulator Ofcom – would allow Royal Mail to charge any price for first class stamps while the cost of second class postage could rise by more than 50 per cent.

SNP enterprise spokesman Mike Weir said: “The removal of the cap would have very serious consequences for small businesses who rely heavily on Royal Mail’s services at a time when many are already under real pressure. Large businesses who send a lot of mail will never pay the full first class price but will always be able to get a better deal or bulk discount from Royal Mail.

“An increase in postage prices could result in a downward spiral, with less people sending letters.”