Following a lengthy investigation, the European Commission concluded that loans granted to Royal Mail in 2001, 2003 and 2007, valued at £1.7m were granted on commercial terms and did not constitute aid. However, the UK Government's decision to create an escrow account to assist Royal Mail in covering its pension scheme (worth £850m) did amount to State aid. Nevertheless, in light of the magnitude of the historic liabilities which Royal Mail had accumulated during its period as the principal postal provider, the Commission has approved the pension scheme retroactively.