Another Of Those Perils Of Privatisation

[Canary42]

Private Companies are so much better run we're told. Hah !

 

https://www.bbc.co.uk/news/articles/c4n80lr4gxro

[andy-hughes]

The major problem with turning public utilities into private companies is that the original ethos of the company - service to its users, changes into a different ethos - profit for its shareholders.

That means that the managament structure is almost all salaried with share option additions, and the way to increase share value is to focus entirely on profit, which is very often not reached by actully providing the originally envisaged service.

That's why we have a useless rail service, and deadful utlities of all shades - because profit and service are mutually exclusive in virtually every situation.

This is example is one more that illustrates the immorality of the Thather government in selling off public services to private fat cats.

[New Judge]

This is example is one more that illustrates the immorality of the Thather government in selling off public services to private fat cats.

I happen to believe that water supply should be a public utility and paid for out of general taxation. Domestic consumers should pay no fees for their supply. Only commercial users woild pay according to the amount used.

But as far as this incident goes, perhaps best to wait until the cause of this is known and then make a judgement as to whether it would or would not have occurred under public ownership.

[andy-hughes]

You are right NJ, but proper investment on repairing and replacing the network with money diverted into dividends would probably have helped!

[JDavis]

Spot-on there, Andy.

[jno]

sorry there's no water folks, there's been too much rain.

[Old_Geezer]

Wow. A thread where I can agree with all previous posts 😁. Miracles do happen on AB 😉

[bazwillrun]

@ jno    and probably the wrong sort of rain !...

[youngmafbog]

I wonder how many on here are actually shareholders, I bet many are but dont even realise it!

Having said that I dont think water compaies should be in private hands but dont fool ourselves that being in public hands would mean there is money left for fixing the Network.  Sadly most public 'companies' fail miserably as they dont have the first clue on how not to waste money.

 

[Peter Pedant]

 service to its users, changes into a different ethos - profit for its shareholders.

no I think people who run private companies know that if they provide a service then profits will grow

and NOT - - - fail to provide a service at random, overcharge and watch the money roll in...