Hays threatens to sue over Royal Mail VAT exemption

The Europe Intelligence Wire has reported that “Hays, the UK’s main rival to the Royal Mail, is threatening to sue over the Royal Mail’s exemption from as much as GBP500m (E785m) of value added tax (Vat). Hays and the Royal Mail’s other competitors including Business Post, Dutch operator TNT and the German carrier Deutsche Post are upset that they have to pay Vat on their business post services which compete with the mail, which is so far excluded from paying it. The companies have made an initial plea to regulator Postcomm. If it does nothing they will take the case to the European courts on the grounds that the Royal Mail’s exemption is anti-competitive.”