Chuka Umunna MP, Labour’s Shadow Business Secretary, commenting on reports that Royal Mail was valued at almost £10bn earlier this year, said:

“The news that yet another leading investment bank valued Royal Mail at a far higher price than that for which it was sold will only add to fears that taxpayers have been significantly short changed by David Cameron’s Royal Mail fire sale. This latest valuation is up to three times above what the public stake in the business was sold at.

“Vince Cable has said that taxpayer value was ‘central’ to the government’s strategy in selling Royal Mail but given the extensive consultation with institutional investors and banks which took place, both he and the Prime Minister have serious questions to answer. Crucially, they must explain when the Government was made aware that the sale was so massively oversubscribed by major investors and why, having considered a higher price, they rejected that option.

“We have called for a full investigation into this matter so it is welcome that the NAO has announced it will be looking into the deal and publishing its findings in the Spring.”