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New report accuses government of selling Royal Mail ‘o...

New report accuses government of selling Royal Mail ‘on the cheap’

01 April 2014

Unite, Britain’s biggest union, accused the government of selling Royal Mail on the cheap following the publication of a damning report from the National Audit Office (NAO).

According to the NAO the government could have achieved better value for the taxpayer through its privatisation of Royal Mail, and the report also revealed that most investors that were given priority to buy shares, sold them shortly after making a profit.

Unite officer for Royal Mail, Brian Scott said: “This report is startling proof that the government sold off the country’s family silver on the cheap. 

“An increase of 72 per cent in the value of Royal Mail shares over the 5 months since trading confirms that the business secretary made a very poor judgement call .

“The privatisation of Royal Mail was wrong in every way. The loser is the UK taxpayer and the tragedy is that money that should be flowing into the Treasury for schools and hospitals is going into the pockets of private investors.

"The government must name the 16 priority investors they did a deal with. The UK taxpayer needs to know why they were selected as priority investors. It is unbelievable that any government thought it could reach a gentleman’s agreement with rapacious investors who were out to make a fast buck."

ENDS

Contact: Ciaran Naidoo on 07768 931 315

Twitter: @unitetheunion, Facebook: unitetheunion1, Web: unitetheunion.org

Notes for editors

Unite is Britain and Ireland’s largest trade union with over 1.4 million members working across all sectors of the economy. The general secretary is Len McCluskey.