§ Mr. WatersonTo ask the Secretary of State for Trade and Industry if she will make a statement on the implications for United Kingdom postal services of the decision of the European Commission that Deutsche Post should repay illegal state aid. [64495]
§ Mr. TimmsThe Government have not yet studied the details surrounding the Commission's decision in this case. However in general we welcome the Commission's determination to tackle state aid which illegally distorts competitive markets. The decision will have no impact on our proposed funding for the post office network and mails business as this will be dictated solely by the need to ensure that the company continues to perform its vital social and economic role in a context of growing competition in postal services. Such objectives are legitimate in state aids terms and we will ensure that any aid or investment we provide will be fully compatible with the European rules.