First class price rise

The recent raft of near failures and bank bailouts has made interesting if somewhat depressing reading. The Government steps in to bail out Northern Rock, RBS, HBOS… Jaguar next?

Having been a former employee of Royal Mail I read with interest the latest proposed price rises which will see the price of a first class letter rise 3p to 39p, with a similar rise for second class taking it to 30p.

A first class large letter will shoot up 9p to 61p. Now the moaners amongst us will be appalled at the percentage increases that Royal Mail are introducing, but perhaps they should hold their tongue.

1) The price of posting letters in this country is still one of (if not THE) cheapest in Europe

2) Royal Mail is lost more than £100 million providing the universal service at a uniform tariff.

So what are the options? Put up the prices as allowed by the postal regulator, or operate at a loss and expect yjoin the growing club of companies that have been bailed out by the Government.

I for one will take the rise in a price of a stamp over an unfunded taxpayer bailout any day. If only some of our financial institutions took some hard decision over the past few months perhaps they wouldn’t be in the state they are in now.

A cross party Christmas card?

I bet it’s better than the official cards that will soon be on their way!

Send your own ElfYourself eCards

The One Account

We have a mortgage with The One Account. Now as I understand it they are part of the RBS Group, which as I understand it is now owned by you and me the taxpayer.

So not long ago a nice interest rate cut was announced. What have The One Account done? Nothing. So we get in touch and ask them what their intentions are regarding their interest rates. Apparently they are "reviewing them". Its funny how financial institutions where I have savings didn’t take long to "review" their rates before reducing them.

So given that the company is owned by Government and the Government wants rate cuts to be passed on I am left wondering what the hold up is.

Won’t it be interesting to see what they do if and when we have another rate cut later on in the week. And these banks wonder why customers who have always been a good risk have little time for them these days!