Australia Post is set to hike the price of sending letters by 9.1 per cent after the Australian Competition and Consumer Commission (ACCC) gave its approval of the increase.
The postal service earlier revealed a proposal to hike the basic postage rate on small letters from $1.10 to $1.20.
The organisation also wants to increase the price on large letters up to 125 grams by 20 cents and large letters over 25 grams by 30 cents.
ACCC Commissioner Anna Brakey said the regulator was satisfied the proposed price increase was unlikely to result in Australia Post recovering more than the cost of providing the letter services.
“The combination of declining letter volumes and an increasing number of delivery points around the country has increased the cost of delivering letters,” Brakey said.
“The ACCC acknowledges the current inflationary environment and cost-of-living pressures faced by Australian consumers, and we have considered the affordability impacts of the proposed price increase on consumers and small businesses.”
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Brakey added the average Aussie sends 15 letters a year, meaning this price hike would cost about $1.50 annually.
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