Royal Mail shares: Forsyth on post privatisation price

The Royal Mail sell-off saw the shares sold off too cheaply, said a former Conservative minister who recalled how past privatisations when he was power also saw shares floated at the wrong price.

The former Conservative MP, who was Scotland Secretary in John Major's government, said: "Clearly the pricing has been wrong, and clearly they could have been more optimistic about the appetite of small investors."

But he said it was "good news for the taxpayers" and the money raised would help pay down the deficit.

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