Royal Mail Compensation Limits and the Restricted-Items Exclusion
The carrier's compensation scheme is small, it is paid to the sender, and it can be refused outright for an item that should not have been posted. For a buyer, the real remedy usually sits with the seller.
What does Royal Mail actually pay for a lost or damaged parcel on each service, why does a restricted or prohibited item void the claim, and why is the buyer's real remedy usually against the seller rather than the carrier?
Royal Mail pays compensation to the sender, in amounts that depend on the service used, and the amounts for loss or damage are small: Citizens Advice's current page gives £20 of item value for first or second class, up to £75 for Tracked 24 or Tracked 48, and up to £750 for Special Delivery by 1pm [1]. It does not pay for the consequences of a loss, such as a spoiled experiment or a delayed study.
In a consumer sale the buyer's remedy is normally against the seller, not the carrier, because the law keeps delivery risk with the seller until the goods reach the buyer [4]. The carrier's scheme matters mainly to the seller recovering its own loss. This article sets out the scheme, the restricted-items point, and how the two routes fit together.
Where these figures come from
Royal Mail's own compensation pages block automated retrieval, so they could not be read for this article [3]. The figures below are those printed on Citizens Advice's page on claiming compensation from Royal Mail, read on 10 October 2026 [1]. They are a snapshot of a third-party summary.
Before relying on any amount, read the current figure on Royal Mail's compensation and service pages. Royal Mail changes its prices and its cover from time to time, and the same applies to the postage amounts used to calculate delay payments. If the two disagree, Royal Mail's page governs.
Who claims: the sender, not the recipient
Citizens Advice states that a claim is possible where you sent the item or were the intended recipient and it was posted in the UK using a Royal Mail service. For Tracked 24 and Tracked 48, only the sender can claim [1].
That is the first practical trap for a buyer. A parcel posted by a supplier is the supplier's claim. A buyer who is only expecting the parcel can complain to Royal Mail, but Citizens Advice notes that a complaint does not automatically bring compensation, and it suggests contacting the seller first [1].
What each service pays
| Service | Amount listed |
|---|---|
| First or second class, including signed for | Stamps plus the item's value up to £20, or just the stamps |
| Tracked 24 or Tracked 48 | The item's value up to £75 |
| Special Delivery guaranteed by 1pm | Postage refund plus the item's value up to £750, or more with extra insurance |
| Special Delivery guaranteed by 9am | The item's value up to £50, or more with extra insurance |
Two things stand out. The amounts are ceilings on the value of the item, so a parcel of modest declared value recovers that value and no more. And the cover differs by service in ways that do not follow price: the same page lists a lower item-value limit for the 9am service than for the 1pm service, which is why the live Royal Mail page should be checked before choosing a service on the strength of its name [1].
Delay is treated separately. For a delayed parcel Citizens Advice lists the lowest postage price for that size of parcel, and states that no compensation is payable for delayed Tracked 24 or Tracked 48 items [1].
Proof of posting and proof of value
A claim for loss or damage is a claim for a value, so the value must be shown. The sender holds the proof of posting and ordinarily the invoice or receipt for the item. For a buyer who is not the sender, that is one more reason the claim belongs to the seller.
Citizens Advice says a claim is made on Royal Mail's online form or a paper form from a Post Office, and that Royal Mail should respond within 30 days for UK items. Successful claims are paid by cheque [1]. Keep the posting receipt, the tracking reference, a photograph of the packed parcel, and the invoice. If the parcel arrives damaged, photograph the outer packaging before opening it.
The restricted-items exclusion
Royal Mail publishes lists of items it prohibits and items it accepts only under conditions. Its compensation policy is where the consequence of sending an item outside those rules is stated, and that page could not be read for this article [3]. The wording of any exclusion, and the list it points to, must therefore be read from Royal Mail itself.
The reason the point matters to laboratory goods is straightforward. A carrier's compensation scheme is a contract with the sender on the carrier's terms. Where an item was not allowed in the post, or was sent in a way the terms do not allow, the sender is in the weaker position when a claim is made, because the claim rests on terms the sender did not follow.
Consequential loss is not covered
Even where a claim succeeds, it pays the stated value of the item. It does not pay for the time lost, the work that could not be done, or the cost of replacing a delayed batch urgently. A lab that depends on a parcel arriving on time should treat the carrier's scheme as a small refund, not as insurance.
Where the contents matter more than the stated cap allows, the options are a service with higher cover, extra insurance where the service offers it, or a courier whose terms fit the value. The article on Royal Mail versus a courier compares those choices.
Risk follows the sale, not the carrier
In a sale to a consumer, section 29 of the Consumer Rights Act 2015 provides that the goods remain at the trader's risk until they come into the physical possession of the consumer or a person the consumer identified to take possession [4]. The exception is a carrier the consumer commissioned who was not one the trader named as an option [4].
The effect is that when a seller posts goods to a consumer using a carrier of the seller's choosing, a loss in the post is the seller's loss. The buyer asks the seller for a replacement or a refund; the seller then claims from Royal Mail to the extent the scheme allows. The seller cannot ordinarily tell the buyer to chase the carrier.
That section applies to consumer sales. A business buyer, such as a university department or a company, is not covered by the same statutory rule, and the contract terms decide when risk passes. Read the supplier's terms of sale for the point of passing of risk and for who must claim from the carrier.
If Royal Mail refuses the claim
Citizens Advice sets out the escalation route. A complaint goes first through Royal Mail's complaints process, then to the Postal Review Panel, which should respond within 30 days. If it cannot resolve the matter it usually refers the complainant to the Postal Redress Service, an independent dispute resolution scheme. The Postal Redress Service can be approached directly where Royal Mail takes longer than 90 days or has not followed its own procedure [2].
- Confirm who posted the parcel and who holds the proof of posting.
- Photograph the packaging and contents on receipt, and keep the tracking history.
- Ask the seller for a replacement or refund first, citing the date of posting and the tracking reference.
- Leave the carrier claim to the sender, who holds the proof, and ask for its outcome in writing.
- If the carrier refuses and the dispute remains, follow the complaint, panel and redress sequence in order.
What to check next
Read the current compensation page and the prohibited and restricted items page on Royal Mail's own site, and note the date. Then read your supplier's terms of sale for who bears the risk in transit and who claims. Keep both with the order record.
References
- Claiming compensation from Royal MailCitizens Advice
- If your post or parcel has been lost, damaged or delayedCitizens Advice
- Royal Mail's retail compensation policy for damage and part lossRoyal Mail
- Consumer Rights Act 2015, section 29: Passing of risklegislation.gov.uk, 2015