Postal prices in the Netherlands could rise sharply again next year. The Dutch Authority for Consumers and Markets (ACM) said PostNL can increase rates for its basic postal services by almost 13 percent in 2027, marking the biggest increase in three years.

Each year, the regulator sets the maximum increase allowed for Universal Postal Service (UPS) rates. The higher increase allowed this year is partly linked to the declining volume of letters being sent. The ACM also took PostNL’s delivery costs and inflation into account when determining the new rate ceiling.

The permitted rate increase does not directly determine the price of a stamp, as PostNL sets the prices of individual postal products itself. The company says it typically raises prices by less than the maximum allowed, since larger increases could cause demand for stamps to fall even further.

The price of stamps has increased significantly in recent years, with PostNL saying the higher rates are needed to cover the cost of delivering mail. A stamp currently costs €1.40, compared with less than €1 in 2022. PostNL will announce its 2027 prices later.

Declining mail volumes have been putting pressure on PostNL’s postal business for years, with the company saying the division is now operating at a loss. PostNL is seeking additional government funding and has previously tried, without success, to be released from its obligations under the Universal Postal Service. The company was recently granted permission to move to a standard two-day delivery service.

CEO Pim Berendsen says additional changes will be necessary to ensure the postal service remains sustainable in the long run. One proposal from PostNL is to extend standard letter delivery times to three working days from next year.