The government has announced the sale of half its 30 per cent stake in Royal Mail at a price of 500p per share. 

A total of £750 million has been raised as part of the selloff, which was made after financial advice had been sought by the Department for Business, Innovation & Skills. 

It was felt that this represented a good opportunity to realise value for money - and the shares were sold through an accelerated bookbuild. 

This enabled the government to take advantage of the current favourable market conditions. 

Business secretary Sajid Javid said the money can be used to reduce public debt, which is how the Conservatives intend to build a sustainable national economy. 

"[Royal Mail] now has the ability to access the funds it needs to ensure that it has a sustainable future and can adapt to the changes in the postal market," he remarked.