News

Government sell off final Royal Mail stake

The Government has sold off 13pc of its Royal Mail shareholding and gifted the final 1pc to postal service employees.

The sale has risen just over £591m, contributing to the total raise of £3.3bn and leading to the full public ownership of Royal Mail for the first time in its 500 year lifetime, after being privatised in October 2013.

The money raised will go towards paying off the national debt; a crucial part of Britain’s economy going forward.

“This is a truly historic day for Royal Mail with the workers gaining a share of this history,” according to Sajid Javid, business secretary [1].

Around 143,000 Royal Mail staff will benefit from the 1pc share gift, gaining 70 shares each at the value of around £318. Employees now own around 12pc of the postal service [1].

The Chancellor George Osborne has said; “this is a milestone moment in the long and proud history of the Royal Mail, when we secure its long-term future, by fully leaving state ownership we have a win all round – for customers, the workforce and the taxpayer” [1].

[1]. THE TELEGRAPH. ‘GOVERNMENT RAISES £591M SELLING OFF FINAL ROYAL MAIL SHAREHOLDING’. HTTP://WWW.TELEGRAPH.CO.UK/FINANCE/