Business secretary determined to press ahead with Royal Mail restructuring, risking stand-off with union
The government is preparing for another potentially explosive confrontation with the postal unions by attempting to privatise Royal Mail, the Guardian has learned.
Vince Cable, the business secretary, is determined to press ahead with a restructuring of the group, which could embroil the government in a dispute with the Communication Workers Union.
Cable has asked Ed Davey, his fellow Liberal Democrat and junior minister at the business department, to prepare the plan in detail.
Royal Mail is expected to post a fall in annual profits as a result of last year's strikes.
Cable believes that while Royal Mail remains in state ownership it cannot compete in a liberalised postal market. Ministers are also anxious about Royal Mail's pension deficit, expected to be formally revalued at £10bn next month. The Guardian >









