David Wright MP said:

“The Government’s economic plan – such that it is – is failing and we now have the unedifying sight of Ministers trying desperately to find anything they can to sell off in order to hide record levels of borrowing. Whilst the deficit might be reducing largely because of attacks on the most vulnerable in our society, national debt has risen faster under this Government that any other post-war Government.

“Privatising the Royal Mail will not solve the economic crisis, but what it will do is end a universal postal service which has been the hallmark of the nation for generations. Private companies will cherry-pick the best services and leave those which are uneconomic to wither and die.

“Not only is this a step too far, it is also short-sighted. Public ownership helps ensure the taxpayer shares in the upside of any modernisation and future profit that the Royal Mail delivers. In addition, the Post Office relies heavily on the Royal Mail for business such as collection of items and sale of stamps. If the Royal Mail is sold off, this also threatens the Post Office.

The Government plans to sell off the Royal Mail during this financial year, but is yet to make clear how much they think the sale will raise. In addition, it is estimated the Royal Mail needs £2 billion of investment over the next five years in order to modernise but achieving this in the private sector is not guarenteed.