While all that may be true - (and as a Brit living in the US who has to renew their passport shortly thanks for the heads up on pricing) at $121 for 10 years that works out to be $1 / mo. That actually seems very reasonable compared to my cable bill.
IIRC, passports became "biometric" in the meantime, though—and it's pretty much a global biometric standard too. So there's the administrative cost of all the biometric data and the cost of the RFID chip and all other necessary technology too.
Although I do agree, it's a joke—but still, if you want to travel abroad you need it.
This is interesting. Consumer prices increased 24% from 1998-2009, passport renewal increased 269%. It seems the product has greatly changed and adopted technology and more bureaucracy. It appears the major reasons for £56 price increase were:
* 40% new anti-fraud measures
* 27% update passports, new anti-fraud, interview for 1st timers (2006)
* 12% to deal with 500k backlog in 1999
* 20% because of falling number of passport applicants and to pay for ID cars.
The world has changed a lot over the last 14 years.
* Minimum cost to renew a UK passport in 1997: GBP 18 ($28).
* Minimum cost to renew a UK passport in 2011/2012: GBP 77.50 ($121).
That's 431% in 14 years or 11% per year! This does not include Post Office handling charges.
This is more than twice the highest single data point inflation (even including housing) and almost four times the annual average over that period.
Oh, and if you were tempted to fast track it for the 1-day service renewal, that's GBP 129 ($202).