The price of a first class stamp is going up by 15p from October - the third increase in 18 months.

Royal Mail has confirmed that the charge to send some letters and packages will be pushed up from Monday, October 2.

Among them, is the price of a first class stamp, which is going up 14% - taking the cost from £1.10 to £1.25.

In 2019 the price of a first class stamp stood at just 70p.

The charge to send a large letter via first class is also changing – going up by 35p to £1.95.

Royal Mail has said the changes are needed as it responds to growing cost pressures and a ‘challenging economic environment’.

Issues surrounding the lack of reform to its universal service obligation – or USO – which requires it to deliver letters around the UK six days a week on a one-price-goes-anywhere basis is also said to be a contributing factor.

The price of a second-class stamp is to remain at its current price of 75p. However large letters, sent by second class post, are to increase by 40p and will go up to £1.55 from Monday.

Royal Mail's 'Signed For' and 'Special Delivery Guaranteed' services will also cost more from Monday, as will the Parcelforce 'Worldwide Next Day' and 'Two Day UK' services.

The delivery group says that the price of a first class stamp is now the same as the median price in Europe, and that the 75p second class stamp is cheaper than the 94p European average.

Royal Mail chief commercial officer Nick Landon added: “We understand the economic challenges that many of our customers are currently facing and have considered the price changes very carefully in light of the significant decline in letter volumes.

“Letter volumes have reduced dramatically over recent years, down more than 60% from their peak in 2004/5 and 30% since the pandemic. It is vital that the universal service adapts to reflect this new reality.”

Customers will have until Sunday, October 1 to buy stamps for their letters at the old prices. But those wishing to stock up on stamps can also do so ahead of the price change in order to store them for use after Monday.