Private Sector Costs More in Local Government!!

Do you remember the 1980's when lowest price privatisation was the panacea for local government.

Isn't it ironic that the Local Government Association is currently blaming 5% Council Tax rises on the cost of private contractors!! See the front page of today's Times for more details.

Whilst some of the cost is down to extra Risk management issues, much of the problem is that there is very little market competition in many areas and this is unlikely to change in the medium term as it would probably require a substantial increase in investment in local authority financed companies and social enterprises to create such a market as it is much too complex an area for private entrepreneurs to attempt to break into.