Pendle MP, Gordon Prentice, today welcomed confirmation by the Business Secretary, Lord Mandelson, that there was no prospect of the part privatisation of the Royal Mail in current circumstances.

The Business Secretary told the Lords that market conditions meant the sell-off was impossible to conclude while "securing value for the taxpayer".

Speaking from Westminster, Prentice said: "The partial privatisation of the Royal Mail was misconceived. It was a complete non starter."

"The Government claimed the Royal Mail needed a private sector partner with experience in running a postal service. But both TNT, the Dutch postal operator, and Deutsche Post pulled out, leaving only a private equity outfit in the running."