No it doesn't.
Check the restrictions section on the Home::1 page.
Looks like an extra £3.60 a month if you want to register a domain and host email with them.
Personally I would do as the previous poster suggested and go external for email with a company dedicated to providing that type of service.
I'm using Tsohost at the moment as an example.
I see lexden16.co.uk is free at the moment