Stamp price fear as sale of Royal Mail looks set to be approved within the next two weeks

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https://www.thisismoney.co.uk/money/mar ... weeks.html

The Czech billionaire bidding for Royal Mail could win approval for the deal from ministers in the next two weeks – raising fears over further stamp price rises.

Daniel Kretinsky, who swooped with a £3.6billion offer, has agreed extra concessions for the deal to be waved through. But it is feared these will not cover stamp prices, leaving him free to put them up.

The price of a first-class stamp has risen five times in three years and is now £1.65.

The deal is being scrutinised under the National Security and Investment Act, which gives ministers the power to block foreign takeovers if they believe are a risk to UK security.

The billionaire’s advisers have also met the Communication Workers Union, which represents around 100,000 posties.

Talks have been ‘constructive’ although union bosses say they remain ‘wary’ of the tycoon’s ambitions, the BBC reported.

Kretinsky, who controls nearly 28 per cent of Royal Mail’s parent company IDS, has agreed to maintain the post carrier’s universal service obligation, which requires it to deliver letters six days a week.

Other commitments include not touching the surplus in Royal Mail’s pension scheme.

It was reported that the new guarantees may last longer than previously agreed. Business Secretary Jonathan Reynolds appeared to shrug off fears about Kretinsky, telling MPs he was a ‘legitimate business figure’.