Royal Mail’s owner considering job cuts and price rises for stamps and parcels

The Communication Workers Union said the half-year results showed the company was in good health and did not need to make big cuts. Photograph: Andy Rain/EPA

The company that owns Royal Mail is considering job cuts and price rises on stamps and parcels as it blamed the Labour government’s first budget in 14 years for adding £120m to its costs.

International Distribution Services (IDS) said the government’s decision to raise employers’ national insurance contributions (NICs) compounded challenges for the business as it faces one of the most turbulent periods in the history of its 508-year-old subsidiary, Royal Mail.