NVI stamps are stamps valid for postage, which do not have a numerical denomination, but indicate a specific service for which they can be used. They were first introduced in 1989, and are now the most commonly used stamps in the country. The most common are stamps with 1^st and 2^nd values.

In 1989, Royal Mail was beginning to use a lot of private retailers and supermarket outlets for selling stamps. Because these stamps had no value indicated on them, they were still postally valid after any subsequent postage rate changes. In previous trials when rates had been increased, retailers were left with often large surpluses of obsolete stamps. These would be returned to Royal Mail and exchanged, with a further payment, for valid rate stamps, which was a very time consuming and unnecessarily expensive process.

Customers with the lower rate stamps would need to purchase small value stamps to make up the difference, which were only available from post offices. This led to many people using the stamps regardless of the change, and postage due stamps were added on delivery. This led to a surcharge of over four times the cost of the original letter rate, and in turn led to even more work for the post office.

The NVI stamps aimed to remove all of these problems, as the stamp indicated the service, not the specific monetary amount. The stamps remain postally valid for the entire life of the service, regardless of the price paid. They can be used to the value of the postal rate so a number of 1st class stamps, currently valued at 34p, could be used together to pay for parcel postage.

The NVI stamps are beneficial for Royal Mail as they incur no further printing costs when raising postage rates. Stamps can no longer become obsolete and reduces wastage. The same can be said for retailers, who no longer need to change their stocks, they simply increase the price.

In 1998 a third NVI value was introduced with an E value, indicating it could be used the European postage rate. The E issue was not a great success as it was not clear what the service was for, and was only valid for the low European rate. Many were incorrectly used, and as the receiving destinations were outside of Royal Mails range, it caused great problems in recouping the losses.

According to official comments from Royal Mail, the stamp was withdrawn because customers believed the E had some connection to the Euro monetary system, which was being introduced all over Europe. How true this is remains to be seen! The E value was discontinued in 2004. Royal mail issued stamps with a “Worldwide Postcard” value, which was not a success either. They began in 2003 as the E NVI was phased out, but were discontinued in 2006 as the Pricing In Proportion system was introduced.

With the success of the NVI design on definitive stamps, it was extended to cover commemorative stamps. Nearly all new stamp issues include NVI values. With the Pricing in Proportion system, introduced in 2006, the NVI stamps were reissued. This included 1^st and 2^nd as normal and 1^st Large and 2^nd Large. These are the common stamps used to this day, having evolved from the original NVI’s from 1989.

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