As of the 19th of January 2026, Royal Mail is no longer providing Royal Mail thermal labels for free. They are instead going to introduce a charge of £4.69 excl. VAT per roll for thermal labels from the Royal Mail Shop.
For multiple industries and sectors that have high-volume operations, this is going to be a hugely impactful hit on outgoings at a time when costs for almost everything are at an all-time high.
What This Means for UK Businesses
The stoppage of Royal Mail free labels is going to have a sizable impact on businesses of all sizes. Below are some of the reasons why and how.
Added Operational Costs for Royal Mail Business Customers
Businesses are now going to need to factor label purchasing into fulfilment budgets. While the cost per label is relatively low, it becomes significant at scale, particularly for high-volume e-commerce sellers. High-volume operations will feel the strain from the scale, while smaller operations could struggle with extra costs on small orders. This added cost will likely lead to increased prices to pass on to the consumer.
Fulfilment Teams Will Need To Reorder and Manage Labels Themselves
Label stock will no longer be passively supplied. Teams must forecast usage, place orders, store inventory and ensure compatibility with existing printers, increasing day-to-day operational oversight and adding another aspect to worry about.
Potential Supply Delays if Relying Solely on Royal Mail’s Stock
If businesses continue sourcing labels through limited channels, delays or shortages could disrupt dispatch schedules, especially during peak periods such as sales events or seasonal surges.
Cost Impact Beyond Labels Themselves
Additional costs may include bulk purchasing to secure better unit pricing, extra storage space and potential printer upgrades if current equipment is incompatible with third-party labels.
Process and Workflow Adjustments
Internal processes may need updating, from extra procurement approvals to fulfilment checklists, to prevent label shortages causing shipping backlogs and further issues.
Reassessment of Shipping Strategy
With the benefit of free Royal Mail thermal labels removed, some businesses may reassess whether the service remains the most cost-effective option compared to couriers that bundle consumables or offer integrated fulfilment solutions.
A Better Alternative: SR Mailing Thermal Labels
At SR Mailing, we offer a practical, sustainable and business-ready alternative as free Royal Mail thermal labels are phased out. Our supply of thermal labels is more cost-effective than Royal Mail’s £4.69 per roll, helping businesses reduce fulfilment costs without compromising on quality.
Designed for reliable performance and full compatibility with major thermal printers, SR Mailing labels ensure smooth printing and strong adhesion during transit. A wide range of sizes is also available, from 2x1” to 4x8”, including the popular 4×6” format used by most e-commerce fulfilment teams. Our 4x6” labels are also available in four different colours, for that bespoke and personalised touch.
For high-volume senders, bulk discounts make large-scale operations more economical, while fast UK shipping options help prevent stock shortages and fulfilment delays. Contact us today to find out how we can meet your label fulfilment needs, by giving us a call on 0161 839 1374 or emailing us at info@srmailing.co.uk.
Why Make the Switch Now?
Making the switch to alternative thermal labels now allows businesses to avoid the price increases announced for January 2026, helping to lock in lower operational costs ahead of time. Early adoption of a new thermal label plan will help secure a reliable supply before demand rises, particularly as more businesses move away from Royal Mail thermal labels.
By switching sooner, better bulk pricing can be accessed, improving cost efficiency for high-volume fulfilment operations. Most importantly, proactive sourcing helps ensure uninterrupted printing and dispatch during peak seasons, reducing the risk of delays caused by last-minute shortages. Explore the thermal labels we have on offer here at SR Mailing, our thermal label printers and our various options of shipping labels.
FAQs
When are Royal Mail free labels ending?
Royal Mail will stop providing free thermal label rolls to Business customers on 19th January 2026.
How much will Royal Mail thermal labels cost?
Royal Mail will start charging £4.69 ex. VAT per roll.
Do I need thermal labels to ship with Royal Mail?
Thermal labels are required if you use a thermal printer for shipping labels.
Are SR Mailing thermal labels compatible with Royal Mail services?
Yes, SR Mailing labels are fully compatible with Royal Mail shipping systems, Royal Mail Click & Drop and major thermal printers.
What size thermal labels do I need for Royal Mail?
Most businesses use 4x6-inch thermal labels, which are compatible with Royal Mail’s printing formats.
