Royal Mail warns Commission not to interfere

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 over 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."