Mandelson Mail claim 'dismissed'

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A fresh row erupted yesterday over Lord Mandelson's plan to partprivatise Royal Mail.

Union leaders said a letter from pension fund trustees dismissed claims they backed the controversial sell-off.

The letter said: "It has been suggested the Trustee supports part-privatisation.

"The Trustee has no political agenda. It has no position for or against matters such as the change in regulator, public versus private ownership etc."

The CWU said this undermined the Business Secretary's claim that raising cash from a private partner was critical to protecting the pensions of 450,000 members.

Lord Mandelson was accused of leaking an earlier letter from chairwoman Jane Newall claiming trustees supported the sell-off and warning of "devastating consequences" if it didn't go ahead.

A cwu spokesman said: "This makes it clear that Jane Newall was acting without the authority of other trustees."