THE North West could have its own separate postage rates in plans to sell off and break up the Post Office being worked on for the Tory manifesto.

President of the Board of Trade Ian Lang is understood to be preparing proposals to break up the postal services into 'regional' companies.

The North West mail and the other regional postal companies would set their own local rates and their own UK-wide rates in consultation with other carriers.

But the plan brought immediate warnings that it would mean higher rates for rural areas.

Conservative Party chiefs hope to include Post Office privatisation in their General Election manifesto along with a promise that it will cut the cost of sending a letter.

It is claimed that a reduction in charges would come with a new, novel proposal to replace the present set national first and second class letter rates with a maximum charge instead. The maximum charge would be set by a special regulator, Ofpost, and competing companies would then be able to offer lower rates inside their local areas and also lower "national" rates."

Rossendale and Darwen MP Janet Anderson said: "This is another daft privatisation plan by a government which would sell its grandmother."

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