The Royal Mail has said that it will have to raise prices for customers and cut costs amid the growing cost of living crisis.
After it was confirmed by the Office for National Statistics (ONS) yesterday that UK inflation has now risen to 9% – which is the highest the figure has been for the last 40 years – with prices hiked across a broad range of everyday goods and services during April, the Royal Mail has issued a statement this morning warning that it sees “significant headwinds” from rising costs – including wages, energy, and fuel.
In an attempt to bolster its position, the postal and courier service revealed that it aimed to make cost savings of £350 million over the course of its current financial year.
Today’s statement on price rises comes after the group already notably hiked the cost of posting letters by an average of around 7%, and parcel prices by an average of about 4% – which took the cost of a first-class stamp to 95p, and a second-class stamp to 68p.
But the Royal Mail says it still sees numerous threats from rising costs ahead, and claimed that it is now at a “crossroads”.
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The Royal Mail has said that it will have to raise prices for customers and cut costs / Credit: Geograph | Royal Mail
Explaining the current situation in its most-recent results statement, the Royal Mail said: “We are now at a crossroads.
“We need to deliver the benefits from change more quickly to deliver sustainable growth. We have made significant operational change already, but this needs to translate into real efficiency savings which deliver a financial benefit next year and beyond.
“Delivery of our existing agreements and the successful transition into the next agreements, as part of the current negotiations with the CWU, will be key to future profitable growth. We have made a substantial pay offer to our people which will enable the change we need to remain competitive, grow and secure their jobs for the future.
“Our market is changing quickly, and agility in our response is key.”
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The UK’s largest postal and courier service claimed it’s now at a “crossroads” / Credit: Royal Mail
Speaking more on the need to raise prices and cut costs going forward, Simon Thompson – Chief Executive at the Royal Mail – added: “As we emerge from the pandemic, the need to accelerate the transformation of our business, particularly in delivery, has become more urgent.
“Our future is as a parcels business, so we need to adapt old ways of working designed for letters and do it much more quickly to a world increasingly dominated by parcels.”
He added: “Our focus now is to work at pace with our people and our trade unions to reinvent this British icon for the next generations, so that we can give our customers what they want, grow our business sustainably and deliver long-term job security for our great team.
Transport Secretary commits to ‘transformational’ rail deal with Greater Manchester
Emily Sergeant
The Transport Secretary has signed a ‘transformational’ rail deal for Greater Manchester.
The Government has formally agreed to work with Greater Manchester and Mayor Andy Burnham on plans for a new railway connecting Liverpool and Manchester, via Warrington, as part of Northern Powerhouse Rail (NPR).
The new Liverpool-Manchester line is said to underpin the Northern Growth Corridor – which is a bold strategy to drive growth from the Mersey to the Pennines, stretching into Yorkshire, Lancashire, North Wales, and beyond – with a key connection at Manchester Airport.
Local analysis has suggested that the new line could generate around £90 billion in additional revenue by 2040.
Also, as part of the major investment of up to £45 billion – which was announced a couple of weeks back, and is tipped to transform rail travel across the North – the Government has also said it will work with Greater Manchester partners to explore an underground option at Manchester Piccadilly station, recognising its potential as a ‘catalyst for growth’.
Local leaders say they are keen to demonstrate how an underground station could turn Piccadilly into a ‘Kings Cross of the North’.
Transport Secretary Heidi Alexander met with Mayor Andy Burnham last week to sign the formal agreement.
The agreement recognises the potential for an underground solution at Manchester Piccadilly, while also acknowledging the need for further ‘testing’ to make sure it will deliver value for money, and additionally sets out how the Government will work with Greater Manchester on the wider NPR scheme – which will be delivered in three stages, with the Liverpool-Manchester line to be built in the second phase.
The Transport Secretary has committed to a ‘transformational’ rail deal with Greater Manchester / Credit: TfGM (Supplied)
A formal review of the underground option at Manchester Piccadilly is to be lead by local leaders and senior civil servants.
“I’ve strengthened this Government’s clear and unwavering commitment to Northern Powerhouse Rail by signing an agreement with Mayor Burnham on the next steps for transforming connectivity in Greater Manchester,” explained Transport Secretary, Heidi Alexander.
“With a new line between Manchester and Liverpool at the heart of our plans, alongside new stations at Manchester Piccadilly and Manchester Airport, we will unlock new opportunities, more jobs and more housing for thousands of people.
“By providing early clarity on scope and phasing, we are giving Greater Manchester the certainty it needs to plan ahead and unlock the full economic and social benefits for its people.”
Featured Image – GMCA
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Police appeal after Manchester city centre shooting sees six arrested and one injured
Emily Sergeant
Police are appealing to the public for information after a shooting in Manchester city centre over the weekend.
Officers from Greater Manchester Police (GMP) were called to reports of a disturbance on Richmond Street at around 5am this past Saturday morning (24 January 2026), and upon arriving at the address, discovered that an adult male had an injury to his leg which was consistent with a gunshot wound.
The man, who has not been named, was been taken to hospital with injuries, but they have been described as ‘non-life threatening’ and ‘non-life changing’.
Following the incident, a police investigation was launched straight away.
Six men, all aged between 23 and 26-years-old, have all been arrested on suspicion of affray and firearms offences, and remain in police custody for questioning at this time while investigations are ongoing.
Superintendent Stephen Wiggins, from GMP’s City of Manchester Division, said he understands this will be a ‘concerning incident’ for the whole of Greater Manchester.
“Once the call came in, our officers acted quickly, making to the scene to establish what had unfolded at the address on Richmond Street, detaining six individuals who we believe had been involved, and we managed to recover a firearm at the address.
“I would like to reassure the community that we believe this is a targeted incident, and there is no wider threat to the general public.”
GMP is now appealing to the public for witnesses, or anyone with information, CCTV, or dashcam footage that could assist the investigation, and is urging them to contact police on 0161 856 4259 or 101, quoting log 600 of 24/01/2026.
You can also report information via LiveChat on the GMP website, or through Crimestoppers, anonymously, on 0800 555 111.
Emily Sergeant -
19th May 2022 
