Why do some governments sell off well run and profitable businesses? Is it short term gain to pay off debts or political dogma?
Why does the Government intend to retain up to a 49.99% stake in Royal Mail? Does this say it all really i.e. “It’s a profitable business but we need some cash now and the future dividends might be useful”.
Royal Mail will be valued at an estimated £3.3 billion pounds. Most shares are expected to go to canny institutional investors. They know a good thing when they see it! The minimum investment for private investors will be £750.
Vince Cable says the sale will give Royal Mail “access to the private capital it needs to modernise the service”. Who would like to see “public” capital ploughed into this service rather than HS2 which will cost at least £50 billion and not reach the north east?
I don’t know about you, but I love my “postie”, both at home and at work. They work hard in all weathers to deliver on foot, bike or van. Most of the public think so too, especially those in rural areas.
Also, the north east rail line, (Edinborough to London), is up for sale. Currently in public hands, it is well run and profitable. So why sell it against public opposition?
We think the Government should scrap HS2 and invest in the Royal Mail and maintaining rail and road links throughout the UK. £50 billion to save 20 minutes off a rail journey does not make sense.