Harry Phibbs has a useful CAPX piece on Nationalised steel.
Nationalised steel is the last thing Britain needs
Have you spotted that when there is consensus support for some bold new measure of state intervention, it proves especially costly and disastrous? Lockdown. HS2. Net Zero. It is not just a political consensus across the main parties. But also the academics and the media. Cue articles beginning, ‘Both sides of industry’. When you hear them all singing the Kumbaya, watch out for your wallet. We had another example on Saturday with the emergency session of Parliament to pass legislation enabling the ‘likely’ nationalisation of British Steel.
Steel nationalisation is a traditional sport of Labour Governments. Clement Attlee did it in 1949. Harold Wilson did it in 1967. Both times saw mismanagement, political interference, industrial decline and heavy taxpayer losses. Third time lucky?
The whole piece is well worth reading as there are a number of other interpretations of this mess. One idea is that this may be a move to discredit Net Zero as an impossible burden on UK steel-making. If so, it would also discredit Ed Miliband, a potential candidate for Keir Starmer's replacement.
Nationalised steel is the last thing Britain needs
- From Keir Starmer to Nigel Farage, our politicians have fallen for a distorted 'Keynesianism'
- The privatisation of steel was a success story
- If Net-Zero requirements were lifted, steel could still turn a profit in this country, but they won't be
Have you spotted that when there is consensus support for some bold new measure of state intervention, it proves especially costly and disastrous? Lockdown. HS2. Net Zero. It is not just a political consensus across the main parties. But also the academics and the media. Cue articles beginning, ‘Both sides of industry’. When you hear them all singing the Kumbaya, watch out for your wallet. We had another example on Saturday with the emergency session of Parliament to pass legislation enabling the ‘likely’ nationalisation of British Steel.
Steel nationalisation is a traditional sport of Labour Governments. Clement Attlee did it in 1949. Harold Wilson did it in 1967. Both times saw mismanagement, political interference, industrial decline and heavy taxpayer losses. Third time lucky?
The whole piece is well worth reading as there are a number of other interpretations of this mess. One idea is that this may be a move to discredit Net Zero as an impossible burden on UK steel-making. If so, it would also discredit Ed Miliband, a potential candidate for Keir Starmer's replacement.
My money is on traditional Labour incompetence though.
9 comments:
As he said, it's not as if we can't get the steel from elsewhere if Scunthorpe closes. And if we're worried about that, then we can stockpile it against future use. It's as if the government were really jittery about our self-sufficiency in mangos, and spent billions on tropical greenhouses in the Rhondda just in case Pakistan and Brazil turn against us.
You have to admit, though, Miliband defending shiploads of coal being transported across the world is nothing short of delightful.
This Labour govt must go, Net Zero must go. The next bit ... cutting the EU umbilical cord ... more difficult.
Sam - yes it is delightful, we could call him Pit Ed.
James - if political fashions change, maybe we'll something but yes, the EU umbilical cord is more difficult.
The EU umbilical cord would be much easier to cut, if we first take a pair of shears to Westminster and Whitehall.
But there is now a legitimate use for HS2. It can deliver rats to London faster than any other train. (Apart from Eurostar, perhaps.)
Sadly, we'll have the most incompetent and least commercial 'cabinet' making decisions they will never understand.
Tammly - I agree, it's all hopelessly compromised at the moment.
dearieme - good point, we could call it rewilding.
Scrobs - yes, just a bunch of ham actors and some of them can't even manage that.
I can't believe Farage is in on this nonsense. I thought better of him than that
Bucko - I don't trust Farage. He was good on Brexit and usually says the right things, but I agree, he should be better than this.
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