View more on these topics

Govt set to announce £3bn Royal Mail float

The Government is close to announcing the flotation of Royal Mail in a move which would value the company at up to £3bn.

The Financial Times reports although no final decision has yet been made, a Government official told the newspaper “preparations were proceeding at pace”.

The flotation of Royal Mail could take place in mid-October but while the Government says it wants to sell a majority of the company, it has yet to confirm the percentage it will make available.

Business Secretary Vince Cable announced in July coalition plans to sell off a majority stake in Royal Mail Group by floating it on the London Stock Exchange in the current financial year.

The firm’s 150,000 staff have been guaranteed a 10 per cent stake in the business which will equate to around £2,000 each if Royal Mail is valued at £3bn.

The public will be able to buy shares in a retail offer, available through stockbrokers and direct from the Government via website.

The scheme will be marketed via newspaper and possibly online but not television.


News and expert analysis straight to your inbox

Sign up


There are 2 comments at the moment, we would love to hear your opinion too.

  1. Great new – privatisation has always worked out really well to date!

    Will the new owners be taking on liability for the pension scheme?

Leave a comment