The U.S. Postal Service has informed its regulators of a planned increase in the price of first-class “Forever” stamps, raising them by a nickel, from the current 68 cents to 73 cents. This adjustment—the second this year—represents another change for the financially struggling federal agency and would equal the highest stamp increase on record.
Pending approval from the Postal Regulatory Commission, the adjustment is slated to come into effect in July, resulting in a nearly 8% uptick in the cost of mailing services products.
The postal service claims that the increase comes in response to shifting demands, notably the reduction of people who use snail mail. According to its website, “As changes in the mailing and shipping marketplace continue, these price adjustments are needed to achieve the financial stability sought by the organization’s Delivering for America 10-year plan. USPS prices remain among the most affordable in the world.”
The decision casts yet another shadow on a floundering agency. Earlier this year, more than 80 Democrats in the U.S. House of Representatives called on President Joe Biden to nominate candidates for two vacant seats on the U.S. Postal Board of Governors. They cited concerns about sluggish deliveries and rising costs as reasons for their plea.
In a statement, Kevin Yoder, executive director of the advocacy group Keep US Posted—a nonprofit promoting the belief that a reliable, affordable U.S. Postal Service is essential to our way of life—said, “The USPS consistently blames frequent postage hikes on inflation, but inflation is just a talking point, when rate increases are consistently far and above the Consumer Price Index.”
In the early years of the nation, postal rates depended on the distance between sender and receiver. By the mid-19th century, rates standardized to a single price regardless of distance.
From then until 1968, rates remained stable. In 1968, prices began to increase slightly every few years.