CWU says "privatisation is not the answer" for RM

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The Communication Workers Union (CWU) maintained its fierce opposition to the privatisation of Royal Mail during a debate with Richard Hooper at today's Future of UK Postal Services conference.

Dave Ward, deputy general secretary at the CWU, says he believes Hooper's latest report on the future of the Royal mail is flawed. He welcomed the government taking on Royal Mail's pension deficit and regulatory reforms, but refused to accept that privatisation was progressive.

Under Hooper's recommendations parcel carriers, such as TNT and Yodel, would be able to buy into the Royal mail and Parcelforce. He says: "This is not a pick-and-mix situation. We need all parts of the recommendations as they link together making the Royal Mail sustainable."

Ward says: "Privatisation is not the answer and it would be the government washing its hands of a universal postal service. We don't believe its right for a universal service to be placed in a commercial world.

"Those buyers will need to give their shareholders a dividend, and so with factors such as cost pressure, you would eventually see service undermined."

However, Hooper insists that postal reform is not viable without privatisation.

Ward warns: "We are concerned and will be running a campaign opposing privatisation. I don't think this argument is over."