The areas of the private sector that achieve the highest levels of efficiency are usually very driven by competition. The leaders of the businesses know if they cease the search to do better with less and give up the drive to innovate and change, their competitors will take their customers.
Advocates of nationalisation say that should be more efficient and low cost because it removes the need for competing management teams, multiple head offices and advertising. Looking at past experience shows this is just not true. Large nationalised monopolies offset the economies of scale with the inefficiencies of monopoly provision.
When the U.K.electricity industry was privatised the nationalised management fought against creating competing generators, claiming it would be dearer and less productive. The government split up the industry and created competition. In the first decade moving to a competitive system labour productivity doubled and electricity prices came down. The industry that had believed in fuel inefficient coal power stations went for the dash for gas. The new power stations were 60-70% more fuel efficient, greener and cleaner.
Public sector trading bodies that charge the customers should be subject to competition.
December 16, 2024
Our massive uncompetitive, unproductive State Sector has weighed Britain down to the point where we beat even the EU in productionless paid activity. The State knows it will never win so has to abolish competition. And it gerrymanders everything, for instance:
‘In January 2015, Cleverly was selected to be the Conservative parliamentary candidate for Braintree, His selection came after the initial selection process was quietly suspended by Conservative Campaign Headquarters, after the local party chose someone not on the approved candidates list and was told to “think again”.
That is the root of our problem. We no longer choose who sits in Parliament. We don’t want anyone on any party’s Candidates list!
December 16, 2024
Lets have free and fair competition between different sources of energy too. Gas,Oil, Coal, wind, solar, hydro, nuclear rather than the current rigged some taxes and other hugely subsidised system. Free and fair competition between over taxed cars and trucks and hugely subsidised trains and buses. Also look at fair competition in housing, state and private education, banking…
December 16, 2024
Conservative MP Joy Morrissey has demanded answers from Labour’s Ed Miliband over allegations he failed to declare donations linked to a recent climate envoy appointment.
Speaking to GB News, Morrissey called for clarity on the declaration of a £4million donation to Labour from Quadrature Capital.
Etc ed
December 16, 2024
You are absolutely correct in your comment. In terms of nationalised industries we are talking Energy, Water, Railways, and I think our postal service. The challenge is how do we make each service competitive when there is no real competition.
Energy suffers too much taxation and insane heretical interference from government whose management skills are zero. First we suffer the heresy of not being able to enjoy the natural assets we have. The first commandment of climate change nett zero is to import world priced energy. This enables government to spuriously claim to free ourselves of the sin of using our own, and its mythical consequences. Having the most expensive energy in the World ensures that we destroy all heavy energy user industries, making us strategically highly vulnerable. They bring to the table, intermittent, tax subsidised electricity from windmills and solar farms, not having the brains to realise that our population largely goes abroad for its sunshine. They deny our own industry of excellence the incentive to provide clean reliable SMRs. When the expensive insanity of Rasputin joins Guy Fawkes in our history of treachery we may be able to evolve a viable energy policy. The we can decide how we get it to all end users competitively.
Water is in need of a national grid to get it from where it falls to where it is needed. Currently international investors enjoy the benefits which first should have been spent on infrastructure. The business rules and plan needs to change.
Railways exist because nobody asks the question as to whether there are better ways for people to get from A to B. Walking was replaced by the horse. The horse and canal by roads, and rail. Rail should give way to private air travel. You can already fly Birmingham to Alicante far cheaper than Manchester to London by rail. Ergo invest in airports.
Sell the mail to an Amazon or like if you want a competetive service.
Now having pointed out how miserable nationalisation is, and we agree, can we have your solution and business plan for all the above.
December 16, 2024
Good Morning,
True competition works, no doubt. But check the record. How many electricity/gas retailers when broke in 2021/2. Leaving a small cartel charging too high ‘standing charges’. Why is Thames water on the cusp of bankruptcy? Why have most of the independent rail operators gone bust?
The model used in each case for privatisation needs to be better thought out. Privatisation, as applied by past Tory governments is an example of political dogma being inappropriately applied; one size rarely fits all.
December 16, 2024
Good morning.
The State is one big monopoly. It creates the all the laws offers the electorate poor service. For example. For the last 14 years the government has been unable to control MASS immigration despite repeated promises to do so. And at no point after an election am I able to switch supplier.
How can this be fair ?