Today, Wednesday 15 May, , Labour's Shadow Business
Secretary has outlined Labour's plans to keep Royal Mail as a
British institution, as the sale of Royal Mail's parent company
to the EP group develops.
In a letter sent to the CEO of EP group, Daniel Křetínský, Labour
has called for safeguards to be put in place to protect the
nations beloved institution, safeguarding the stamp and the
British postie.
Writing to Křetínský, called for safeguards
including that Royal Mail remains domiciled in the UK, paying tax
and keeping its headquarters here, as well as pressing for the
Great British postie to have a leading role in the future of
Royal Mail.
In the letter, Reynolds highlights the significance of the
historic British company, saying: “Whilst it's important that
Britain remains open and attractive to foreign investment, Royal
Mail is an iconic British institution with a unique place in our
society and infrastructure. Royal Mail is as British as it gets,
and Labour will take the necessary steps to safeguard its
undeniable identity and place in public life.”
He goes on to state that the Labour Party “would never accept”
seeing Royal Mail operated overseas and asks for confirmation
“that, should EP Group complete a takeover of IDS, the Royal Mail
would continue to be headquartered in the UK and remain tax
resident in the UK?”
Ends.
Full text of letter below:
Dear Daniel,
I write following reported developments in EP Group's attempts to
buy International Distribution Services (IDS) plc. As you will no
doubt know, this potential takeover has garnered significant
public interest, raising questions about the future of the Royal
Mail as a subsidiary of IDS plc.
As you know Royal Mail is a beloved British institution, whose
symbol and mark is a huge source of pride not just to Royal
Mail's staff and customers but to wider British society. The
future of Royal Mail as a British institution is
imperative.
The Labour Party believes that Royal Mail provides crucial
services to the public, is a key part of our national
infrastructure and remains a significant contributor to the UK
economy. As such, it is imperative for us that any purchase of
IDS plc comes with it cast-iron guarantees on the Royal Mail's
future, its core values and safeguarding this iconic British
brand.
While I recognise that a takeover by EP Group is far from
complete, with positive reports of progress towards a deal
emerging in the media, I write to ask whether you would offer
myself and the Labour Party commitments to undertaking certain
safeguards should a takeover be completed.
Firstly, the Royal Mail is a national asset and its ability to
use the royal cypher of HRH King Charles III is an important
symbol of its unique place in British life and the value
British people rightly place in it. Taking IDS into private
ownership risks seeing the company be operated overseas,
something which the Labour Party would never accept. As such, can
you confirm that, should EP Group complete a takeover of IDS, the
Royal Mail would continue to be headquartered in the UK and
remain tax resident in the UK?
Secondly, the Labour Party believes that Royal Mail staff are
essential workers that offer great social value to our
communities. Postal workers are Royal Mail's greatest asset, can
you confirm, should this deal go through, that you will work
closely with the Communication Workers Union to build a
sustainable Royal Mail?
Finally, Labour is committed to the Universal Service Obligation
(USO) as Royal Mail's central mission. We believe the USO
underpins our postal service and the enormous value it has for
communities and businesses as well as being an important
foundation of the union. In that spirit, can you confirm EP
Group's commitment to the USO and that it would be your intention
for Royal to remain the Universal Service Provider.
Whilst it's important that Britain remains open and attractive to
foreign investment, Royal Mail is an iconic British institution
with a unique place in our society and infrastructure. Royal Mail
is as British as it gets, and Labour will take the necessary
steps to safeguard its undeniable identity and place in public
life. Given the importance of the matter, I would be
grateful if you would consider these issues as a matter of
urgency. I look forward to hearing from you.
Due to the public interest in this important matter, I will be
releasing this letter to the press.
Yours sincerely,
