An Post has warned the Government that it will face cash-flow difficulties in April, and will have to increase the price of stamps to cover the shortfall.
The company foresees that it will be unable to meet its €10-million-per-week wage bill unless the price of stamps is raised. Speaking to The Irish Times, An Post chief executive David McRedmond said the “price increase is an essential measure for the company”.
The Irish Times was further told that the price of a basic stamp would increase from €0.72 to more than €1 if legislation to abolish a cap on stamp prices is signed by the President in the coming days.
An Post does not have enough money to pay staff wages past the end of March. It has told the Government the immediate increase is necessary to stabilise its financial standing for a period of 18 to 24 months. McRedmond said An Post is not seeking an ongoing subsidy but wishes to secure the future for “a self-funding network that meets the needs of consumers”.
Current stamp prices in Ireland are €0.72 for national stamps and €1.10 for international. This compares with £0.64 (€0.74) for a British 1st class stamp and £0.55 (€0.63) for a 2nd class stamp.
© 2017 - Checkout Magazine by Donncha Mac Cóil