Why have postal prices changed to reflect size as well as weight?
Historically, Royal Mail has based its prices on the weight of letters and packages. But the company has shown its costs are also linked with the size of items. Weight is still relevant, but not the only factor Royal Mail needs to take into account when setting postage prices. Therefore – after extensive consultation with all stakeholders, including customer groups, Postcomm accepted Royal Mail’s proposal to change the way it sets its prices. The new scheme – Pricing in Proportion (PiP) – was introduced on 21 August 2006.
