At the outcome of the work performed in the first half of the year, and the public consultation held from 27 April to 25 May 2023[1], Arcep has adopted its Decision on the multiannual price caps for the universal postal service for 2024-2025. This mechanism succeeds the price caps in force from 2019 to 2022[2] and the Arcep Opinion[3] on changes to La Poste prices in 2023.
This Decision sets the nominal[4] average annual increase for universal postal services at 17% for the period running from 2024 to 2025, and sets the nominal annual price increase for this period at 10%.
It is up to La Poste to decide on how its prices will change, within the parameters of this price cap. Arcep, which issues a public opinion[5] on the price of each universal service product, can deliver a targeted assessment.
In light of the universal service account deficit, the decrease in postal volumes and rising overhead costs, the mechanism provides a pricing trajectory framework for the universal service in such a way as not to increase its deficit (post compensation) compared to 2021.
As a reminder, starting in 2021 the State began offsetting universal service losses, provided that La Poste control its overhead cost increases by improving productivity. The multiannual price caps translate a sharing of the burden between the company and consumers, while also factoring in the State’s contributions.
Given the instability of the economic situation, the price caps mechanism includes a clause that allows for a review of the mechanism should there be a significant change in the circumstances used to set the price cap.
Associated documents:
• Stakeholders’ contributions to the public consultation held from 27 April to 25 May 2023
[1] Public consultation – Characteristics of the multiannual price cap for universal service products for 2024-2025
[2] Set by Decision No. 2017-1252 of 26 October 2017
[3] Opinion No. 2022‑1457 of 24 June 2022
[4] i.e. current prices
[5]In accordance with Para. 3 of Article L.5-2 of the French Postal and Electronic Communications Code (CPCE): “[Arcep] will be informed by La Poste of universal postal service prices, before they come into effect. Arcep will issue a public notice within a month of having been informed of these prices”.