How to Cut Business Postage Costs: 8 Practical Steps for UK Offices

The quickest way to cut business postage costs is to stop paying stamp prices, choose the cheapest service that still meets your deadline, and size every item correctly before it is franked. For most UK offices that means using a franking machine on Mailmark rates, defaulting to 2nd Class where timing allows, and keeping letters inside the right size band. The savings per item look small, but they compound across hundreds of items a month.

1. Stop paying full stamp prices

Franked mail is priced below the equivalent stamp. Using the rates we published for October 2026, a 1st Class letter up to 100g is £1.80 as a stamp against £1.77 franked on Mailmark, and a 2nd Class letter is 91p against 88p. The gap is wider on bigger items: a 1st Class large letter up to 100g is £3.30 as a stamp and £2.86 franked. If your business sends large letters regularly, that 44p difference is where the biggest savings sit. Our guide to franking machines versus stamps works through the numbers in more detail.

2. Default to 2nd Class where you can

Most routine business mail does not need next-day delivery. Invoices with 30-day terms, newsletters, statements and general correspondence can usually travel 2nd Class. Set this as the default in your franking machine and make 1st Class the exception that needs a reason. On the rates above, that choice alone saves 89p on each letter and £1.31 on each franked large letter compared with 1st Class.

3. Get the size right before you frank

Royal Mail charges by format and weight, so an item that creeps into the next band can cost far more than you expect. A thick letter that becomes a large letter, or a large letter that tips into a parcel, is an avoidable cost. Weigh and measure anything borderline, and read our guide to letter, large letter or parcel sizing so the whole team applies the same rules. Royal Mail publishes its own format and size definitions on the Royal Mail website, which is the authority to check if you are unsure.

4. Avoid surcharges and rejected mail

Postage you underpay or apply incorrectly is a cost you did not budget for. Poorly printed impressions, wrong values and badly placed labels can all cause problems. It is worth understanding when Royal Mail surcharges apply to franked mail, and making sure your team follows the steps in our guide to preparing and posting franked mail.

5. Keep your machine printing cleanly

A machine that prints faint or incomplete impressions wastes ink, labels and staff time, and puts mail at risk. Replace cartridges when the machine tells you to rather than waiting for a poor print, and store spares sensibly. Our franking machine ink guide covers choosing and storing cartridges, and if you are already seeing problems, this troubleshooting article will help. When you reorder, always match consumables to your exact model, for example through our Pitney Bowes or Neopost and Quadient collections.

6. Use labels for oversized items

Large or thick items cannot always be printed directly on the envelope. Franking labels let you apply the correct postage to parcels and bulky envelopes without risking a misprint on the item itself. Our article on when to use franking labels explains how to choose them, and you can browse franking machine labels by machine type.

7. Track postage spend by department

You cannot reduce what you do not measure. Many franking machines can allocate postage to accounts or departments, which shows who is sending what and at which service level. Review the figures monthly. Spotting a department that always uses 1st Class for routine items is often the easiest saving you will find. Keeping an eye on your balance also avoids rushed top ups, which our guide to postage credit, top ups and refunds explains.

8. Review whether the machine still suits you

Mail volumes change. If you send far less than you did, or far more, the machine you chose years ago may no longer be the best fit. A lease that is due to end is the natural moment to reassess, and our guide to what to do when a franking machine lease ends sets out your choices.

A simple monthly checklist

Once a month, check three things: the share of mail sent 1st Class, the number of items near a size boundary, and the cost of consumables per thousand items. Small adjustments to each tend to add up faster than any single big change.

Frequently Asked Questions

What is the cheapest way for a business to send letters in the UK?

Franking on Mailmark rates and choosing 2nd Class for non-urgent post is generally the cheapest route for letters. On the October 2026 rates we published, a franked 2nd Class letter up to 100g costs 88p, compared with 91p for the stamp.

How much does franking save compared with stamps?

It depends on the item. For a 1st Class letter the difference is 3p, but for a 1st Class large letter up to 100g it is 44p (£2.86 franked against £3.30 as a stamp). Businesses sending many large letters see the biggest savings.

Can I use 2nd Class for invoices?

Yes, in most cases. Invoices and statements normally have payment terms that allow for 2nd Class delivery times, but you should use 1st Class where a deadline is genuinely tight.

Do I need a Mailmark franking machine to get the lower prices?

The franked prices quoted above are Mailmark rates. If you are unsure whether your current machine qualifies, our guide to Mailmark franking machines explains the requirements.

How often should I review my postage costs?

Monthly is a sensible rhythm for most small and medium businesses. Check service levels, item sizes and consumables spend, and look again whenever Royal Mail announces a price change.