Postal rates to rise

The price of sending a letter is set to rise, New Zealand Post announced today.

The standard domestic postage stamp will rise by 5 cents, to 45 cents, from April 5 -- the first increase since 1991.

That year the price went from 40c to 45c. It was then reduced to 40c in 1995.

FastPost will increase in price from 80c to 90c -- the first price rise since 1989.

Over the last few years it had been increasingly difficult to keep the price of sending a standard domestic letter at 40 cents, Peter Fenton, NZ Post Group Manager Letters, said in a statement.

"New Zealand Post has managed to hold stamp prices for as long as possible, but given escalating costs and the changing trends in letter volumes it is necessary to make these changes now," Mr Fenton said in a statement.

He said at 45c New Zealanders would still pay one of the lowest standard postage rates in the developed world.

"Only Hong Kong and the Czech Republic offer a cheaper price. By comparison Australia's basic postage price is the equivalent of 57c, Canada 55c, Britain 76c, Ireland 90c, Germany $1, Japan $1.15 and Norway $1.30.

A new 45 cent stamp, which will feature a sperm whale swimming off the Kaikoura coast, will go on sale next month.

- NZPA