Royal Mail has announced plans to sell stamps to people of ‘modest means’ at discounted rates this Christmas.

People on Pension Credit and Employability and Support Allowance will be able to buy 1st and 2nd class stamps for Christmas 2012 at 2011 prices.

About five million people will be eligible.

A Royal Mail spokeswoman stressed that there was still a good deal of work to be done before the scheme is implemented.