The notified measures in relation to the pension relief which the United Kingdom is planning to implement for Royal Mail Group constitute aid which is compatible with the internal market within the meaning of Article 107(3)(c) of the Treaty on the Functioning of the European Union, provided that the conditions set out in paragraphs 2 and 3 are met.

At the date of the pension relief on 1 April 2012, Royal Mail Group shall retain a liability of GBP 150 million on its balance sheet for the accrued deficits that have resulted from the pension plans that it has sponsored.

The United Kingdom shall not grant State aid to Royal Mail Group as compensation for legacy costs in relation to newly accrued pension liabilities for members of the Royal Mail Pension Plan after the date of the pension relief on 1 April 2012.