Chuka Umunna MP, Labour’s Shadow Business Secretary, commenting on the announcement of a review into the sell off of Royal Mail, said:

“By announcing this inquiry, the government is admitting what everyone else has known for months – that its privatisation was a first-class short-changing of the taxpayer.

“Ministers have continued to defend their botched Royal Mail fire sale and maintained that the process was managed correctly, but the fact they have set up this inquiry shows the opposite is true.

“Taxpayers have been short changed to the tune of hundreds of millions of pounds while large City investors, who were placed at the front of the queue by ministers, have been laughing all the way to the bank at the public’s expense. There are a huge number of questions which ministers need to answer on the mistakes which have been made.

“We hope this formal inquiry will help us get to the bottom of what went so badly wrong. It is very welcome that Lord Myners will be leading this inquiry.”