The privatisation of #water firms has had a clear result:
1. to fund profits to #shareholders, investment was constrained;
2. low investment has led to the #watercrisis, #pollution & water losses through leaks;
3, (Finally) under-funding is to be rectified & funded via loans;
4. the ongoing costs of loans will be repaid by customers through higher bills.
The only thing the #investors have done is stolen our money, offering no actual benefits;
the #Tories' #kleptocapitalism in a nutshell!
The mess privatisation has made of the UK's water system is symptomatic of much of the general economic malaise in the UK now.
The biggest issue of all - the housing crisis - is also the direct result of the massive transfer of public assets into private hands initiated by Thatcherism (neoliberalisn).
Almost every aspect of the UK's broad spectrum under-performance compared with neighbouring countries - including the tragic disintegration of its welfare state - can be traced back to this transfer of wealth out of the public's hands.
What about the brexit factor? - that too, as far as its key leaders were concerned, was part of the same neoliberal project to 'free' capitalism from state (or superstate) control.
@GeofCox @WTL @ChrisMayLA6 @CheRosach
Actually privatisation has nothing to do with the state of the water industry: it's *always* been this bad!
https://mastodon.me.uk/@tokensane/110401280960480737
1/11 This is going to be my first long-form post. I don't know if this will go anywhere, but I want to get this off my chest. The UK has a problem with sewage in its seas and rivers. The Standard Model of this on the Left is that greedy privatised water companies have focused on paying shareholders rather than investing in infrastructure. Hence we are in a literal mess. This narrative is seriously incomplete, verging on wrong.
@tokensane @GeofCox @WTL @CheRosach
Fair enough, but I think we can all agree that provitisation, presented as the 'answer' to the previous problems, very much wasn't!
@Myryama @tokensane @GeofCox @WTL @CheRosach
Agreed, in this model, lax regulation is the key issue, but that would not be a mistake, bu rather a feature of how the #privatisation was intended to (further) enrich the rentier class
@weematt @CheRosach @ChrisMayLA6 @Myryama @tokensane @WTL
I think the peak of private water company investment in the UK was in the 90s - in response to new EU regulations!
But what's the point of the private company + regulator model? What's really needed for natural monopolies, especially those crucial to public health like water and energy - as @CheRosach and others have said - and indeed where national networking is essential, like transport - is public ownership and a thoroughgoing public service ethos. There is a plethora of evidence from around the world that it simply works better.
In France 57% of the economy is in the public sector, and over another 10% in other forms of social ownership, eg. co-ops - and the 'capitalist' less-than-a-third that remains is far more state regulated than the UK. Indeed, the world's most successful economies - Norway springs to mind - do tend to have high levels of public ownership and state intervention.
The UK neoliberal media have been saying for years - decades - that the French - indeed 'the European Social Model' - had to lead to decline - stories that mysteriously disappeared when it became obvious that it was the UK, with its privatised infrastructure, that was actually getting in a hell of a mess.
Emeritus Prof Christopher May
WTL
GeofCox
Token Sane Person
James Evans
CheRosach
Matt Graham