As the news continues to be dominated by the collapse of giant construction and outsourcing firm Carillion, more and more politicians and others are pointing out the serious flaws in a system that allocates huge amounts of public resources to private companies that can go bust with enormous job losses and cost to taxpayers.
This kind of profit-sucking privatisation is at the core of the Tory view of the UK economy and, embarrassingly, the Tories not too long ago lauded a government-supported lending deal with the very same Carillion as part of a ‘key’ to economic success.
In late 2014, when George Osborne was still Chancellor, he put out an elated tweet on the topic of a Carillion construction deal:
Unfortunately, he also specifically drew attention to the fact that a significant amount of government money had underwritten it:
The Tory ‘economic plan’ has always been a less than stable thing – the deadline for it to work and eliminate the national deficit and debt have moved constantly since 2010; every time it approached it was put back again.
But as the Carillion domino threatens to topple countless others as it falls, the Tories’ love for privatised outsourcing is looking as foolish and ill-advised as those on the left have always called it.
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