The Royal Mail is almost 400 years old and is a key distributor in the UK, delivering 3.9 billion parcels between 2023 and 2024. But how well does it work for small businesses?
How does it compare to other couriers and is it cost-effective? And what if you’re only making a few deliveries a day?
Read on to find out more about the Royal Mail’s business prices and what courier might be right for you.
What is Royal Mail business?
Royal Mail business is a delivery service designed for businesses of all sizes, from small startups to large corporations.
It covers national and international shipping and offers a range of services that can get your products delivered quickly and securely.
Royal Mail also offers online tools like click and drop, where they handle the process of postage, printing labels, and managing shipments. Its service includes platforms that can help you with invoicing and building delivery reports, as well as producing QR codes for your customers.
Royal Mail business prices
The price you pay to make business deliveries with Royal Mail differs from personal costs. The price depends on:
- the size and weight of your delivery
- the quantity of items you’re sending
- whether it’s a national or international delivery
- how fast you want the delivery to be made
- the level of tracking and security you want
The Royal Mail has many delivery options for you to choose from. Every business will have different needs depending on the product but its services range from:
- tracked 24 or 48 hour shipping
- same day delivery, which runs 24 hours a day
- special delivery, for important or valuable items
- signed for delivery, where a signature is required to complete the delivery
And the range of prices start at as little as £1.50 a parcel up to £84, mainly depending on the weight and which service you choose.
Are stamp prices increasing for businesses?
The base price of first and second class stamps is increasing. So if you’re using the standard price stamps for your business, then you’ll be paying more.
But as we’ve explained above, Royal Mail’s business prices are more complex and based on different factors. So while the base prices are increasing, it won’t directly affect your business’s delivery costs.
Base prices rising can sometimes signal other costs increasing down the line, so look out for them in the future.
Price of 1st class stamp 2025
From April 7 2025, a first-class will cost £1.70, rising from £1.65.
Price of 2nd class stamp 2025
A second-class stamp will cost 87p from April 7 2025, rising from 85p.
Remember, these are the non-business prices.
Does Royal Mail business work for side hustlers?
It depends on how many items you send. While there’s no minimum number of items you can send with Royal Mail’s business services, you won’t be making the most of the benefits if you’re not sending enough.
Royal Mail suggests that if you’re sending more than 20 parcels a week, it could be worth you using a business account.
Most of the sending options become more cost-effective the higher quantity you send. The amount you save does vary across the many delivery options, so it’s worth visiting the Royal Mail’s site to see what you’d save.
But if you were to use the popular options of Royal Mail 24® or 48®, to get the largest discounts, you need to send around 1,000 parcels in a year.
If you’re sending in a lower volume, there’s no problem with using Royal Mail’s regular services for your side hustle.
Courier options for sending your products
Whether you’re sending large, valuable products or small and inexpensive ones, you’ll want a courier service that fits your business’s needs.
Royal Mail is considered a reliable and fast option in the UK, but some alternative couriers could provide a service more suited to your business. DPD, DHL, Evri, and Parcelforce are popular choices.
We go into detail about the pros and cons of different courier services for your business, including the best if you ship internationally or use sites like Amazon or Etsy to sell your products.
Remember, it’s not a one size fits all approach, you can use one courier for smaller orders, one for larger ones, and another for international shipping.
More useful guides for small businesses
- What is public liability insurance?
- How to sell on Instagram
- 10 legal changes for businesses in 2025
- A guide to side hustle tax
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