As of today, May 6, 2024, Canadians will notice a significant change when purchasing postage stamps. Canada Post has announced an increase in postage rates, approved just days ago, marking a notable rise in the cost of mailing services.
The price for stamps purchased in booklets, coils, or panes will now be 99 cents each, up from 92 cents—a 7 cents increase per stamp. Single domestic stamps have also seen a hike, rising from $1.07 to $1.15. These adjustments extend beyond just domestic services; prices for US and international letter post, along with domestic registered mail items, have all been affected.
This is not the first time Canada Post has raised its rates; previous increases occurred in 2019 and 2020, with domestic letter mail rates rising by five cents and two cents, respectively. The last significant rate change prior to those was on March 31, 2014.
The increase comes at a challenging time for the national postal service, which reported a substantial pre-tax loss of $748 million in 2023. The corporation attributes this downturn to a combination of heightened competition, escalating operating costs, and a continuous decline in Transaction Mail volumes.
Canada Post’s recent financial report highlighted that the post-pandemic landscape has seen an unprecedented acceleration in competition. The corporation emphasized the necessity of these rate adjustments to cope with these challenges and to prevent future unsustainable losses.
According to a statement on Canada Post’s website, the organization is committed to keeping these changes as reasonable as possible. “Canada Post understands the importance of the delivery service it provides and works to minimize the impact of price changes on all customers, ensuring any increases are fair and reasonable,” the statement read.
These changes are conducted following the regulatory process as outlined in the Canada Post Corporation Act, ensuring that the adjustments are legally and procedurally sound.
As Canadians adapt to the new postage rates, Canada Post continues to navigate its path through a rapidly evolving market, aiming to balance customer needs with financial sustainability.