Amazon (AMZN) has announced it will increase the price of its delivery and streaming services for UK customers to cope with "increased inflation and operating costs".
The Silicon Valley company said that it would raise the price of Prime from £7.99 ($9.63) per month to £8.99 from 15 September for new customers or on the date of a customer’s next renewal.
For annual customers the price of their membership will increase from £79 to £95 per year. It marks the first time Amazon has increased its price since 2014.
Prime subscribers receive free unlimited delivery, including the Amazon Fresh grocery delivery, entertainment streaming and live sport through the service.
The tech giant has invested substantially in original Amazon series and sports rights recently.
Earlier in July, it secured the rights to show some Champions League matches from 2024, adding to its rights for 20 Premier League football games each season and Autumn Nations rugby in the UK.
Prime Video has tripled the amount of original content since 2018, with series such as The Terminal List and The Boys, as well as UK-produced shows like Clarkson’s Farm and will launch The Lord of the Rings: The Rings of Power series in September.
A spokeswoman for Amazon, said: "Prime offers the best of shopping and entertainment, and continues to improve each year.
"We have increased the number of products available with fast, unlimited Prime delivery, recently added ultra-fast fresh grocery delivery, and have significantly expanded our high-quality digital entertainment, including TV, movies, music, games, and books.
"With increased inflation and operating costs in the UK continuing to rise, we will change the price of Prime."
Watch: How to save money on a low income
Amazon's price increase comes as online retailers and streaming services attempt to offset inflation in delivery costs and issues with handling returned goods.
In March, streaming giant Netflix (NFLX) announced it was hiking the cost of its basic and standard plans by £1 a month to £6.99 and £10.99 respectively, while the premium tier will go up by £2 to £15.99.
Reena Sewraz, Which? money expert, said: "Millions of us pay for subscription services each month, but the costs can quickly pile up, and the pressure of the cost of living crisis means many customers will be reevaluating whether they can afford the added expense.
"However, there are many ways to save on a range of subscriptions. If you live with others and have multiple subscriptions for the same services, it’s worth sharing a subscription to cut the cost.
"Paying annually rather than monthly is often cheaper, and you could even rotate your monthly subscriptions, rather than paying for more than one similar service at a time."
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