Royal Mail chief warns EU on plan for pension fund
Moya Greene, the chief executive of Royal Mail, has stressed it is "essential" that the European Commission allows the Government to relieve it of its crippling £4.6bn pension deficit.
She spoke as strong performances from the Post Office and its General Logistics Systems (GLS) parcel delivery business helped to boost its profits by more than three times over the half-year to 25 September. The Government plans to take responsibility for Royal Mail's pension fund deficit from April.
Ms Greene said: "It will be essential for Royal Mail that the European Commission approves the Government's State Aid application to relieve the company of its historic pension liability and allow restructuring of the Royal Mail balance sheet."
The group delivered profits of £67m, up from £22m last year, helped by a tighter control on costs. Royal Mail's revenues rose by 5 per cent to £4.61bn.
The Post Office more than tripled profits to £55m, while GLS also grew, by 14 per cent, to £58m. But its UK letters business suffered a loss of £41m, despite raising the cost of first-class stamps from 41p to 46p in April. While this improved on last year's £55m loss, the volume of letters fell by 6 per cent.
As part of its modernisation drive, Royal Mail has cut 5,000 jobs in the past year and 50,000 since 2003.
- 1 Woman 'suffocates newborn baby in plastic bag and puts it in her desk minutes after giving birth'
- 3 Company breaks open Apple Watch to discover what it says is 'planned obsolescence'
- 5 Chinese student carries disabled friend to school every day for three years
Nepal earthquake in pictures: Photos show devastation caused by 7.8 magnitude earthquake
Royal baby: Live updates as superbug closes ward at St Mary's Hospital in London where Duchess of Cambridge is due to give birth
Nepal earthquake: Rescuers forced to dig with their bare hands in search for survivors as images show damage to historic buildings
Ed Miliband and Boris Johnson in angry clash live on BBC's Andrew Marr Show
Bali Nine executions: British grandmother on death row in Indonesia Lindsay Sandiford says she 'just wants to get it over with'
General Election 2015: Chuka Umunna on the benefits of immigration, humility – and his leader Ed Miliband
The sickening truth about food banks that the Tories don't want you to know
Migrant boat disaster: Ukip candidate mocks victims in sickening Twitter post
Nigel Farage wants the BBC to stop making programmes like Doctor Who, Strictly Come Dancing, and Top Gear
Global warming: Scientists say temperatures could rise by 6C by 2100 and call for action ahead of UN meeting in Paris
General Election 2015: Britain would become a 'communist dictatorship' under Ed Miliband and Nicola Sturgeon, claims wife of Michael Gove
iJobs Money & Business
£24000 - £26000 per annum + benefits : Ashdown Group: A highly successful, glo...
£50000 - £55000 per annum: Ashdown Group: Business Analyst - Financial Service...
£18000 - £23000 per annum + OTE £45K: SThree: At SThree, we like to be differe...
£20000 - £25000 per annum + competitive: SThree: Did you know? SThree is the o...