Postal zoning plans unveiled

Details have emerged of Royal Mails plans to introduce zonal pricing in the UK, with costs set to rise for large mailers in London.

The postal operator has applied to regulator Postcomm to put up prices in Greater London and rural areas but wants lower prices for the rest of the country.

Under Royal Mail’s proposals, a surcharge of 2.5% will target Greater London, while for ‘low density’ rural areas it increases to 4.8%. But for ‘business districts’, there will be price cuts of 4.9%, while ‘high density’ areas will benefit from a 2% decrease.

But the proposals will not affect stamp prices or bulk mail included in Royal Mail’s existing universal service.