Five questions answered on the plans to sell Royal Mail

How have the workers reacted? What about the Post Office?

Today, Business Secretary Vince Cable announced that the government will sell Royal Mail. We answer five questions on this latest decision.

How will Royal Mail be sold?

The government will sell off shares in Royal Mail through flotation on the stock market. Employees will also be given 10 per cent shares in the business, which Cable described as "the biggest employee share scheme for nearly 30 years".

It is thought the sale will value the business at £2-3bn.

What has been the reaction to this news?

Mixed. Members of the Communication Workers Union (CWU) are opposed to the privatisation and have even threatened strike action. 

Workers are said to be deeply suspicious of the idea of a share scheme, according to the CWU, which represents about two thirds of the 150,000 workforce.

Business Minister Michael Fallon, writing in The Daily Telegraph, has said that now is the right time to sell Royal Mail.

Chuka Umunna MP, Labour's shadow business secretary, has said the government is opting for privatisation to "dig the Chancellor, George Osborne, out of a hole of his own making".

What else has Cable said?

"The Government’s decision is a practical, legal and commercial decision to put Royal Mail’s future on a sustainable basis," Mr Cable told MPs.

 "Now the time has come for government to step back and allow management to focus wholeheartedly on the business. This government will give Royal Mail the real commercial freedom it's needed for a long time.

"It cannot be right for Royal Mail to come cap in hand to ministers each time it wants to invest and innovate. The public will always want government to invest in schools and hospitals ahead of Royal Mail."

How well is the Royal Mail currently doing?

The postal service is currently undergoing a facelift, which involves focusing more on parcels and less on letters.

A boom in parcel delivery, largely due to internet shopping, helped Royal Mail more than double its profits last year after years of losses.

Does the sale include the Post Office?

No. The post office is a separate company to Royal Mail. The Post Office is the national network of branches that offer postal, governmental and financial services. Whereas Royal Mail sorts and delivers letters and parcels.

Royal Mail vans pictured parked at a Post Office depot in east London. Photograph: Getty Images.

Heidi Vella is a features writer for Nridigital.com

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Europe's elections show why liberals should avoid fatalism

France, Germany and the Netherlands suggest there is nothing inevitable about the right's advance.

Humans are unavoidably pattern-seeking creatures. We give meaning to disparate events where little or none may exist. So it is with Brexit and Donald Trump. The proximity of these results led to declarations of liberalism's demise. After decades of progress, the tide was said to have unavoidably turned.

Every election is now treated as another round in the great duel between libralism and populism. In the Netherlands, the perennial nativist Geert Wilders was gifted outsize attention in the belief that he could surf the Brexit-Trump wave to victory. Yet far from triumphing, the Freedom Party finished a distant second, increasing its seats total to 20 (four fewer than in 2010). Wilders' defeat was always more likely than not (and he would have been unable to form a government) but global events gifted him an aura of invincibility.

In France, for several years, Marine Le Pen has been likely to make the final round of the next presidential election. But it was only after Brexit and Trump's election that she was widely seen as a potential victor. As in 2002, the front républicain is likely to defeat the Front National. The winner, however, will not be a conservative but a liberal. According to the post-Trump narrative, Emmanuel Macron's rise should have been impossible. But his surge (albeit one that has left him tied with Le Pen in the first round) suggests liberalism is in better health than suggested.

In Germany, where the far-right Alternative für Deutschland was said to be remorselessly advancing, politics is returning to traditional two-party combat. The election of Martin Schulz has transformed the SPD's fortunes to the point where it could form the next government. As some Labour MPs resign themselves to perpeutal opposition, they could be forgiven for noting what a difference a new leader can make.

2016 will be forever remembered as the year of Brexit and Trump. Yet both events could conceivably have happened in liberalism's supposed heyday. The UK has long been the EU's most reluctant member and, having not joined the euro or the Schengen Zone, already had one foot outside the door. In the US, the conditions for the election of a Trump-like figure have been in place for decades. For all this, Leave only narrowly won and Hillary Clinton won three million more votes than her opponent. Liberalism is neither as weak as it is now thought, nor as strong as it was once thought.

George Eaton is political editor of the New Statesman.