The figure represents a considerable increase over the £162m made throughout the whole of 2007, but the group reiterated that the challenges from competition and a "structural decline in the mail market" were continuing to grow.

All four of the group's business units, Royal Mail Letters, the Post Office, Parcelforce Worldwide and GLS – its European parcels business – helped contribute to the increase.

Revenue for the third quarter came in at £2.6bn, compared to £2.5bn the year previous, while the first nine months saw a 3% revenue growth to £7.2bn.

Although Royal Mail said annual profit was on track to be nearly double that of the previous year, it stated that competition from electronic media was costing the group five times the level of profit than that of rival mailing operators.
 
Adam Crozier, chief executive of Royal Mail Group, said the postal operator welcomed the government's intention to sell a minority stake of the business, which would allow for the "operational change we need for the next stage of our transformation".

Crozier added: "For all these reasons we must step up the pace at which we are transforming Royal Mail, otherwise, as the recent Hooper report made clear, we face decline."