Government approves Royal Mail sale


Government approves Royal Mail sale

The Government has approved the sale of International Distribution Services which owns Royal Mail to the EP Group. Agreement was reached and is due to be fully announced later today. It is expected to see the Government retaining a ‘golden share’ which would enable it to veto any significant changes to the ownership, operating name, location of headquarters and tax residency going forward.

It is understood that a ten per cent share of dividends earned by Royal Mail in its new ownership will be set aside for sharing amongst Royal Mail’s direct workforce and that the universal service obligation will remain in force.

Meanwhile, there remains doubt in some quarters as to whether selling off such a key British icon to a foreign owner, rumoured to have had deep connections with the Russian state, is a wise move.

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