Royal Mail

Nic Dakin Excerpts

Thursday 12th September 2013 Commons Chamber

[Michael Fallon]

One point of agreement between the union and me has been the need to ensure longevity so that the shares are held, not sold off the next day, by the work force. They will have to hold the shares for a minimum of three years before they are able to sell. During that time, they will receive dividends and be able to vote on the future policy of the company, and day by day they will see the actual share price.

[Nic Dakin (Scunthorpe) (Lab)]

The Minister struggled to answer the question by my hon. Friend the Member for Kingston upon Hull North (Diana Johnson), so I will give him another go. Can he guarantee that the Royal Mail, with the Queen’s head on its stamps, will continue to remain UK-owned and UK-headquartered?

[Michael Fallon]

It will of course be UK-headquartered. It will have multiple owners after privatisation. Those who are located in the UK are able to apply for shares on the issue. We are not restricting the issue to UK citizens or UK nationals. Anybody located here can invest in the business through the retail offer. Having a multiple ownership is the best possible protection for the company. I repeat that we deliberately decided not to sell the company to a single owner or single private equity company.