The Labour Party still plans to go ahead with Royal Mail privatisation, according to business secretary Peter Mandelson.

Parts of the Royal Mail group could be sold off in the future, should the Labour Party remain in power after the next UK general election.

Speaking to the BBC, business secretary Peter Mandelson insisted that ideas about selling arms of the firm were still up and running, despite the party's election manifesto stating that "continuing modernisation and investment will be needed by the Royal Mail in the public sector", with no mention of previously discussed privatisation.

Talking to business editor Robert Peston, Lord Mandelson said that the party has made a pledge not to take privatisation steps until the end of the next parliament.

The source noted that while the Conservative Party has not yet unveiled its manifesto, shadow business secretary Ken Clarke has previously stated that he is in favour of the privatisation of the Royal Mail delivery service.

Royal Mail offers a wide range of services, including international parcel delivery, and has some 27 million addresses in its database.

Posted by Matt Watts

Article Added: 13/04/2010 12:33:43