Royal Mail privatisation

[JOHNNYAITCH]

Businesses work a lot better than publically run organisations. The sooner it happens to the NHS, the better!

 

Better for whom?

 

Are you serioulsy suggesting that the lecy companies are comparabale to say Tescos or Argos or KFC who have to handle real competition..if they put there prices up by 8% cos (using the KFC example) the price of chicken went up people would just stop buying there delicious chicken based products and would go elsewhere for their gourmet food

 

privatisation has its merits but it depends how its done and in the past its not been done well

[JOHNNYAITCH]

One of the the supposed points of privatisation was that private sector money would be available for the massive investment that was needed to modernise the various industries. No doubt some of that has happened.

 

However cos of a lack of competition and ground rules in this aea they haven;t had to go to shareholders to raise money or have profit free years, they've been able to do so via their customers and increasing bills. Which is simply flawed and not right

 

Plus of course it would have been entirely possible to raise money form the private sector thru something like govt bonds to raise money for investment..maybe that was properly looked at and rejected..maybe it wasn't

[JOHNNYAITCH]

Plus nationalised industries thru not being profit and efficiency driven provided much social cohesion..stable, integrated communities built around them, a safer/stable future for employees and their families etc etc. These have to be in the mix too when making decisions on privatisation..there is a balance to be struck when it comes to what I'll crudely call the cost/benefit analysis that must include more than money

[Tone]

It's crazy to argue that any increase in price for energy is just down to privatisation. Oil has always been private, as far as I know. I pay more than twice as much for petrol compared with what I did 10 years ago when I first became a US resident. On the other hand, my electricity costs have gone down since Texas deregulated distribution in most areas in 2002. Different country, I know, but I just offer this as an illustration.

[Birdy]

It's crazy to argue that any increase in price for energy is just down to privatisation. Oil has always been private, as far as I know. I pay more than twice as much for petrol compared with what I did 10 years ago when I first became a US resident. On the other hand, my electricity costs have gone down since Texas deregulated distribution in most areas in 2002. Different country, I know, but I just offer this as an illustration.

 

Why has the increase in train tickets increased above the rate of inflation every year since 1993, the year that it was privatised?

 

Why has the wholesale reduction in gas and electricity never been passed onto the customer?

 

Why are we (the tax payer) still paying billions and billions in subsidies to the privatised industries?

 

You can sign a petition to keep the most profitable rail line in the UK in public ownership here

[JOHNNYAITCH]

It's crazy to argue that any increase in price for energy is just down to privatisation.

 

Not saying it is reponsible for the wholesale price increase but it plays a big part in how the retail companies respond to increases (and reductions). Their focus is on profits, share price and dividends which is what they should do as PLCs..whether they should be PLCs is the argument.

 

The nationalised lecy industry was in the business of supplying lecy to business, services and individuals..the private companies are in the business of supplying profits, increasing share prices and paying dividends..is that what we want? Can such a thing coexist with stricter controls and competition that strikes a better balance?

[JOHNNYAITCH]

Why has the increase in train tickets increased above the rate of inflation every year since 1993, the year that it was privatised?

 

To generate money for investment and to provide profits for shareholders/owners

 

Why has the wholesale reduction in gas and electricity never been passed onto the customer?

 

Cos the lecy companies exist to make money, not to supply electricity at the cheapest price possible

 

Why are we (the tax payer) still paying billions and billions in subsidies to the privatised industries?

 

Cos they c0cked up privatisation

 

You can sign a petition to keep the most profitable rail line in the UK in public ownership here

 

If it's so profitable they should be reducing ticket prices ;)

[Birdy]

Thank you JA you've answered most of my questions perfectly.

[Tone]

To generate money for investment and to provide profits for shareholders/owners

 

Cos the lecy companies exist to make money, not to supply electricity at the cheapest price possible

 

The first point (about train ticket prices) also applies to the electricity generating industry. They have to make money to invest in new power plants OR borrow that money from shareholders or others - for which privilege they off interest, dividends or increase in share prices. That's the way it works.

[Birdy]

The first point (about train ticket prices) also applies to the electricity generating industry. They have to make money to invest in new power plants OR borrow that money from shareholders or others - for which privilege they off interest, dividends or increase in share prices. That's the way it works.

If it was in public ownership all the profits wouldn't end up going to shareholders but go back into investing into the infrastructure. We would all be stakeholders in a national asset.

 

The priority of a state owned entity is to provide a service. The priority of a privatised company is to make as much money as possible for the shareholders. The way it is working in this country is that all these private companies are draining billions off the tax payer and

paying millions to shareholders whilst they increase ticket prices steeply every year since 1993. The same is happening to the utilities.

 

Many of the privatised companies in the UK are owned by foreign run state and part state owned companies. Why isn't the UK doing this progressive and worthwhile initiative but opting to feed the few and not all of us?

[Bycarsbill]

Why has the increase in train tickets increased above the rate of inflation every year since 1993, the year that it was privatised?

 

Why has the wholesale reduction in gas and electricity never been passed onto the customer?

 

Why are we (the tax payer) still paying billions and billions in subsidies to the privatised industries?

 

You can sign a petition to keep the most profitable rail line in the UK in public ownership here

 

Answer 1) because the Government still sets the maximum increase for train fares each year.

Answer 2) Wholesale gas prices (as do other commodities) prices fluctuate constantly. I am not a fan of the energy companies, but their average nett profit margin of around 5% is not too dissimilar to many supermarket operators and the energy companies still have to invest constantly in infrastructure--at least I hope they do--as with the imminent closure of so many old power stations, there's a big chance of blackouts to come! The levy we're all paying for renewable energy (Government imposed and the brainchild of one Mr. Ed Miliband) is scandalous!

Answer 3) To which privatised industries are we, the taxpayers contributing £Billions?

[For Us All]

Bad value for the taxpayers with a £640m loss.

 

http://www.mirror.co.uk/news/uk-news/royal-mail-shares-rocket-38-2363930

[Birdy]

Answer 1)

Answer 3) To which privatised industries are we, the taxpayers contributing £Billions?

All of them, we still subsidise those industries.

Rail, energy and other privatised utilities such as NHS, LA, and education contractors are still being subsidised by us the tax payer.

 

The limit on fare increases is nearly 10% (although this is to be reduced to 6%), four times the rate of inflation.

http://www.bbc.co.uk/news/business-24449784

 

Whole sale energy prices may fluctuate but the price to the consumer only ever goes up.

[JohnJames]

http://weownit.org.uk/

[Tone]

If it was in public ownership all the profits wouldn't end up going to shareholders but go back into investing into the infrastructure. We would all be stakeholders in a national asset.

 

Do you seriously believe that Steve? Revenue from publicly operated services goes to the Exchequer. That's always assuming the government can contrive a profit from operations. They rarely do.