Why are many public services in he UK run by private companies?

Question

How is it that Private companies can provide a service and still make a profit. Yet the local authorities are unable to provide a service despite the fact that they don't need to make a profit?

The local authorities are supposed to ensure that the services are up to the standard required so what is it that prevents the local authorities from providing a service at least as good as the private sector for the same budget

Answer 1

Simple those who can't get real jobs end up working for government where they cannot get fired.  

Drop your universal health care system and your economy will prosper!

Answer 2

Maggie Thatcher sold off all the public utilities and de regulated the public services. The fascist dictator ruined our country and we have a long way to go to go back to the way things used to be. WE owned the water, gas, electricity, trains, buses etc. WE DID and that cow sold them all back, allegedly, to us. Then Maggies evil plan came in to force and the money men stepped in and bought all the shares And that is how private companies now have the power. I could go on but I would be here all day.

Answer 3

I wouldn't say that the service is any better, private companies are better at cutting costs though.

Answer 4

Because the local authorities are useless, inefficient, money-wasting pointless entities and only by employing a private company does anything ever get done!

Wait for the LA, you'll wait forever   . . .

Answer 5

I work with care companies and residential homes. Some private companies provide a good service, some bad and the same is true of the public sector suppliers. One of the main differences of course is that money that would go to care in the public sector goes into the pocket of private owners as profit. Private owners of care homes tend to spend as little as possible on the people in them.

Answer 6

Public - Private Partnerships - a govt run scheme

Happy reading -

http://en.wikipedia.org/wiki/Public-priv...

Answer 7

Lots of reasons heres a few

Government can "wash their hands" of any responsibility for standards, like hospital cleaning.

It appears initially that the number of public sector employees is reduced, moving them from public to private sectors. In reality it just makes space for more public sector recruits.

The Government believed they could "buy in" competence so they could concentrate on running the country incompetently.

The Government can covertly favour foreign industry by citing them as the best deal for the taxpayer.

The Government can claim no reponsibility for rising prices as these are down to "market forces" (how much the private company can s***w the customer, you & me) whilst the Treasurys rake off in VAT, corporation tax etc is directly higher proportionate to increasing prices.

Check out privatisation that was "going to be good for the consumer", gas, oil, water, railways and a raft of service industries, all have been given a licence to hold the nation to ransome, whilst the Government stands back, collects the spoils of  record profits at the expense of the very people who's welfare  they are meant to be looking after.

The beneficiaries of privatization are the companies given contracts, their shareholders, the banks, the Government and any other money motivated party.After all its only taxpayers money and they have no option other than pay up!