Britain has launched plans to sell more than half the state-run postal service Royal Mail in the coming weeks, in the nation's biggest privatisation in decades.
The announcement is part of the coalition government's strategy to slash the budget deficit, but has sparked anger from trade unions and opposition politicians.
Royal Mail and the government acknowledged in a joint statement that strike action by postal workers unhappy at the part-privatisation of the centuries-old service could not be ruled out.
"Her Majesty's Government today announces its intention to proceed with an initial public offering of Royal Mail," said the statement, which added that the flotation on the London Stock Exchange was "expected to take place in the coming weeks".
The coalition government will sell at least 41 per cent of Royal Mail, while employees will receive another 10 per cent of the shares free of charge.
However, the state will remain flexible over the size of the stake sale, depending on market conditions and investor demand.
The government had already outlined plans in July to privatise more than 50 percent of Royal Mail, after a major restructuring in recent years that was triggered by fierce competition from email.
The privatisation was expected to be the biggest by a British government since former prime minister Margaret Thatcher - who died this year - sold off former state-owned companies British Gas and British Telecom in the 1980s.
Reports say the part-sale of Royal Mail could be worth up to STG3.0 billion ($A5.1 billion).
