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Capitalism at the Carillion Casino

February 4, 2018

 

It’s no secret that the Tories have been carving up our public services and outsourcing them to private firms to make a profit at the expense of the taxpayer. Some of these companies are even owned by the Tories’ rich friends in big business, while others belong to Tory donors.

 

Theresa May’s new line-up of ministers confirmed they are still very much continuing with this dogmatic agenda of privatisation and outsourcing. So long as governments believe that casino capitalism has all the answers and the public sector is the devil incarnate, it will continue to happen.

 

Wolverhampton-based Carillion held approximately 450 contracts with the UK Government, representing 38 per cent of its 2016 reported revenue.

 

Private monopolies: the very thing that privatisers always said was inefficient when state run. How do you measure efficiency when the unholy cartel of corporations and their auditors are parasitic upon each other? Add to that an ideologically driven government and failed ministers, it is bound to cause huge crashes like Carillion.

This is what happens when Tory ideology, in the form of Thatcherism, meets reality; a toxic mixture of politicians, greedy shareholders and Whitehall Mandarins allows a company to put too many crooked fingers in too many pies.

 

Why are poor taxpayers being told to subsidise Carillion’s contractors?

 

 

Graft, bribery and corruption. Excessive executive salaries and bonuses. Kickbacks to government ministers for the gift of Public Fraud Initiative "con tricks". This parasitic swarm of public service con men with many family and old school / Oxbridge connections to the Tory party are a blight on the well-being of the majority in our society.

 

Dennis Skinner is right: Carillion collapse is the ‘Casino economy’ 

 

 

The Carillion management certainly made sure they eliminated risk as far as their own remuneration was concerned: Revealed: Carillion secretly protected bosses’ £4m bonuses just months before £600m accounting crisis.

 

I think the British public deserve to know if the management knew they were going under when these rules were changed. Sadly, although this was obviously the case, we now have little or no hope of proving their misconduct.

 

 

In an ideal world companies that blacklist workers for raising health and safety issues shouldn't receive government contracts. But this is Tory Britain, where such actions will be applauded behind closed doors. Carillion blacklisted trade unionists as a matter of policy – and successive governments continued to disregard their crimes and heaped further rewards on them.

 

The collapse of construction giant Carillion marks the final end of the “neo liberal economic doctrine” that has dominated politics since the days of Thatcher, according to MPs.

It’s finally become clear to everyone that the privatising and outsourcing public services doesn’t work, they said. Grahame Morris, Labour MP for Easington, and Ronnie Campbell, Labour MP for Blyth Valley, made the claim in a House of Commons motion. They were backed by other colleagues on the left of the party, including Bolsover MP Dennis Skinner, who signed the motion.

 

This corruption is made possible by the ‘revolving door’ between Whitehall and the boardrooms. Civil Servants and politicians receive well paid directorships on boards of the companies that have been recipients of their largesse when they retire.

 

Essential public services are properly the concern of the public sector. The public sector is driven by service. The private sector is driven by profit. Services operate on ethical principles (indeed the occupations within it are often called vocations); the private sector operates on market principles. Markets, left to their own devices, will get away with whatever they can; it’s all about the bottom line and delivering for their shareholders.

 

 

 

John Sweeney for Political Provocateur

 

 Edited by Eddie Earl for Political Provocateur

 

 

 

 

 

 

 

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