Royal Mail owner faces £900m class action claim for ‘abusing dominant position’

Royal Mail has said it will defend the action ‘robustly’. Photograph: Christopher Thomond/The Guardian

The owner of Royal Mail is facing a near £900m class action claim over accusations it abused its “dominant position” in the market for sending out bulk mail, including bank statements and weekly magazines.

International Distribution Services (IDS) has been served with an £878m action by a newly formed company that said it represents an estimated 290,000 customers who claim they were overcharged as a result of Royal Mail’s behaviour.