Tag: UK

Government funding to the Post Office worth more than GBP 600 million was approved by the European Commission today.

Brussels has the power to block state aid it considers breaches EU rules on fair competition.

But EU Competition Commissioner Neelie Kroes said the UK government’s cash backing for the UK post office network satisfied the rules for aid to support national public services.

“I am very aware of the importance of the post office network and of the services it provides” she said this afternoon.

“This aid will enable the network to continue to provide those services under the new terms defined by the UK Government”.

The Post Office, now a subsidiary of the Royal Mail, runs about 14,000 post offices throughout the UK, the majority separate businesses contracted out to sub-postmasters.

Last July the Government announced funding over three years starting next April of GBP 634 million, to help cover the cost of loss-making parts of the service.

And although the funding has been approved today, the Commission is still conducting an inquiry launched last February into wider Government funding arrangements for Royal Mail totalling more than GBP 2.5 billion.

“The measures authorised today are separate and concern only the compensation of costs specifically incurred by Post Office Limited,” said a Commission statement.

The Post Office is proud to be supporting World AIDS Day on 1 December with the launch of a limited edition red ribbon phone card. 50 per cent of the profits from the sale of the card will be donated to the National AIDS Trust.

The theme of this year’s World AIDS Day is ‘Let’s Get Talking’ and it is estimated that on 1 December, people will talk for over 800 hours on the Post Office’s® International Phone Cards.

The Post Office wants to offer customers the option of cheap and easy calls abroad but also give them the opportunity to show their support for those affected by HIV and AIDS. The Post Office is hoping this partnership will help to break the silence about HIV and AIDS in the UK and across the globe.

Nick Gittens, Post Office head of corporate responsibility, said: “By offering these services, we are making it easy for our customers to do their bit for World AIDS Day. By simply choosing the unique GBP 15 international phone card in the weeks running up to World AIDS Day, our customers will have contributed to the National AIDS Trust and shown their support for the millions affected by HIV and AIDS.”

As well as benefitting from low cost calls to destinations across the globe, on World AIDS Day customer will be able to call China, Hong Kong, Japan and Singapore for free between 12noon and 12midnight. And on 2nd December, customers will be able to call Poland and South Africa for an unlimited time for only 15p.