Hands off Royal Mail, EU told
BRUSSELS was urged yesterday to “keep its nose out” of Britain’s plans for the Royal Mail.
The company could be forced to sell some of its best businesses if the EU decides Government plans to take over pensions add up to state aid. European parcels arm General Logistics Systems, which made a profit of £51million in the past six months, is one company that could go.
Government plans to sell off 90 per cent of Royal Mail, possibly to foreign firms, are strongly opposed by unions.
To attract buyers, taxpayers will take over the Royal Mail’s pension scheme, which currently has an £8.4billion deficit. But forced asset sales could compromise any deal.
The Department for Business said it was “far too early to speculate” about the EU’s decision yesterday.
But Tory MP Philip Davies said: “The EU are sticking their noses where it’s not wanted. It’s a prime example of why we would be better off out of the EU.”
