Royal Mail Discount Service

Business Mail Advanced:
Save More on Every Bulk Mailing

If your business sends 250 or more identical-class letters to UK addresses via a Mailmark franking machine, Royal Mail’s Business Mail Advanced (BMA) unlocks tiered postage discounts — the more you send, the more you save.

250+
Minimum qualifying volume
£1.375
Lowest 1st Class rate (25,000+)
Free
Collection under 4,000 items before 12PM

What is Business Mail Advanced?

Business Mail Advanced (BMA) is a Royal Mail postal service, introduced in April 2015, that gives businesses tiered volume discounts on bulk franked letter mail. It is exclusively available to businesses using a Mailmark-enabled franking machine. BMA discounts are applied automatically at the point of franking — your machine franks at the reduced BMA rate, and Royal Mail verifies eligibility letter by letter through its automated sorting infrastructure.

The service covers both 1st and 2nd Class letters addressed to UK addresses. The Republic of Ireland is excluded. Discounts begin at 250 letters per mailing and scale up to 25,000+ items, with the deepest savings available to the highest-volume senders.

Do You Qualify for Business Mail Advanced?

To access BMA postage discounts, every mailing must meet all of the following Royal Mail requirements:

Minimum 250 items of the same class
Each mailing must contain at least 250 Standard Letters, all 1st Class or all 2nd Class — not mixed.
UK addresses only
All letters must be destined for UK addresses. The Republic of Ireland does not qualify.
Machine-readable addresses (OCR recommended)
Addresses must be readable by Royal Mail’s automated sorting technology. Optical Character Recognition (OCR) specification is strongly recommended.
Clear zones must be kept free of markings
Specific areas on each letter must have no ink or markings. Royal Mail prints barcodes in these zones to assist automated sorting.
Royal Mail trays — upside down, facing front
Letters must be presented in Royal Mail-supplied trays, loaded upside down facing the front. 1st and 2nd Class must be in separate trays.
Licence number displayed on each letter
Your franking machine licence number must appear on every letter. This is applied automatically each time you frank.
Letter size: 145–240mm x 110–165mm, thickness 0.25–5mm
Minimum 145 x 110mm. Maximum 240 x 165mm. Envelope thickness must be between 0.25mm and 5mm.

Business Mail Advanced Postage Rates

All prices exclude VAT. VAT is charged at 20%. Standard Franked Meter tariff applies to any items that fail automated sorting.

Class 0–249 250–999 1,000–2,499 2,500–9,999 10,000–24,999 25,000+
1st Class £1.670 £1.525 £1.478 £1.441 £1.407 £1.375
2nd Class £0.840 £0.754 £0.748 £0.740 £0.737 £0.737

*Prices are per item, ex-VAT. Volume bands are per individual mailing, not cumulative across the month.

How Business Mail Advanced Works

Once enrolled, the discount and reconciliation process is fully automated. Here is what happens from franking to rebate:

1
Frank at the BMA rate

Your Mailmark franking machine is pre-loaded with Business Mail Advanced rates. Frank your letters as normal — the discounted rate is applied automatically at the point of franking.

2
Royal Mail verifies each item

Royal Mail’s sorting machines read the Mailmark 2D barcode on each letter, checking size, weight and address accuracy. Items passing automated sorting receive the discount. Those that fail revert to standard Franked Meter tariff.

3
Daily reconciliation with your manufacturer

Each day, Royal Mail calculates the amount paid (including VAT) and sends this data to your franking machine manufacturer. Any underpayments are deducted from your postage account automatically.

4
Monthly invoice and VAT rebate

At month end you receive a detailed invoice showing daily volumes, discount achieved, adjustments, and an automated VAT invoice to reclaim VAT. Volume-related rebates are credited directly to your postage account.

Frequently Asked Questions

Everything you need to know about how Business Mail Advanced discounts are applied and managed.

How is the Business Mail Advanced discount assessed?

Your franking machine franks at the BMA discounted rate. As Royal Mail processes your mail, its sorting machines read the licence number stored in each letter’s Mailmark 2D barcode and check size, weight and address accuracy. Discount is verified on a letter-by-letter basis for every item that passes automated sorting. Any letter that fails automated sorting is charged at standard Franked Meter tariff rates.

How do I claim the Business Mail Advanced discount?

If you send 250 or more letters per mailing via BMA, the discount is pre-loaded into your franking machine — no separate claim is required. If any items do not qualify, the underpayment is automatically deducted from your postage account. For businesses sending over 1,000 letters per day who qualify for a volume-related discount, the rebate is applied directly to your postage account at month end.

How do I get my money back through Business Mail Advanced?

Royal Mail’s sorting machines record key details from each letter’s Mailmark impression, including price paid and date. Each day, Royal Mail calculates the total amount paid (including VAT) and sends this data to your franking machine manufacturer. At the end of each month you receive an invoice that includes an automated VAT invoice — allowing you to reclaim VAT — along with any volume rebate credited to your postage account.

What does the monthly Business Mail Advanced invoice show?

Your monthly BMA invoice includes:

  • Daily posted volumes broken down by class (1st and 2nd)
  • The volume-related discount level achieved each day
  • Instances where BMA discount was not achieved
  • Detailed adjustment summaries (positive and negative)
  • Full VAT details for your business accounts
VAT on Business Mail Advanced

BMA is subject to VAT at 20%. Your monthly invoice includes an automated VAT invoice to reclaim the VAT paid. For full details, visit royalmail.com/VAT.

Need a Mailmark Machine to Access BMA?

Business Mail Advanced is only available through Mailmark-enabled franking machines. As a Royal Mail Authorised Inspector since 2008, Mailcoms will help you find the right machine for your mailing volume.

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