Join the Socialist Party Join us today!

Printable version Printable version

Facebook   Twitter

Link to this page: https://www.socialistparty.org.uk/issue/949/25490

From The Socialist newspaper, 17 May 2017

Support Corbyn's call to renationalise Royal Mail

CWU strike 2009, photo Paul Mattsson

CWU strike 2009, photo Paul Mattsson   (Click to enlarge)

Carl Harper, CWU member (personal capacity)

Privatising Royal Mail was a privatisation too far for Margaret Thatcher. So how did it come to pass that 499 years of public ownership ended in 2015 with the remaining 30% of shares being floated on the London Stock Exchange, following the majority being sold two years earlier?

The Postal Services Act 2011, which paved the way for privatisation, was introduced by the Tory and Lib Dem Coalition.

The government claimed that selling off the public service would raise the necessary funds through private capital to 'modernise' the business. Then chancellor George Osbourne had committed to public sector spending cuts to meet his deficit-reduction targets, meaning that any necessary investment certainly wouldn't be provided by the state. The government rushed through a 3.3 billion firesale.

The 'creation' of a million private sector jobs in 'rebalancing the economy' which the government regularly boasted about, undoubtedly included the 170,000 Royal Mail employees who were shifted from the public to the private sector virtually overnight.

Opposition

As a Communication Workers Union (CWU) activist I remember being surprised and frustrated at how the union leadership was seemingly caught flat-footed by the sale. Only a "consultative ballot" was held, finding 96% of workers were opposed to the sale, joining 70% of the public. But not a single day of strike action was held to fight it.

The sale grossly defrauded the public. Royal Mail was valued at up to 10 billion by American bank JP Morgan - three times the eventual float figure. CitiBank valued it at 7.3 billion and Deutsche Bank between 6.4 and 6.9 billion.

The government decided to float the company on a share price of 330p. Within a week the share price had broken the 500p mark, an increase of nearly 50%, making the market valuation a whopping 1.7 billion higher than the government's sale price. The public has continued to be robbed of billions of pounds.

I'm therefore obviously delighted with Jeremy Corbyn's announcement that his Labour government would renationalise Royal Mail. The case is strong, has the support of the majority of the public and with the correct programme of development could prove to be hugely beneficial in the first steps towards a genuinely modernised telecommunications and postal industry. Royal Mail has always been, and will continue to be, profitable in public ownership.

Why not click here to join the Socialist Party, or click here to donate to the Socialist Party.


In The Socialist 17 May 2017:


Kick out the Tories! Corbyn can win

Kick out the Tories: For a Corbyn-led government

Tories out! Corbyn can win with socialist policies

Corbyn's manifesto: An important step in the right direction

TUSC confirms no candidates in June

Suprise rally with Jeremy Corbyn in Morley

Corbyn's alternative for young people

Corbyn could re-win Scotland with a socialist approach to independence


Socialist Party news and analysis

One in three borrow for rent, Corbyn pledges housing revolution

Tories escape election fraud charges

NHS cyberattack: budget cuts and spy agency to blame

31,000 more kids at risk of abuse or neglect


Socialist Party workplace news

PCS election: Increased majority for Democracy Alliance

Support Corbyn's call to renationalise Royal Mail

CWU walkout wins large concessions

Blackpool deserves better - anti-austerity rally

Unison must back Corbyn's pledge to abolish zero-hour contracts with action

Workplace news in brief


Socialist Party reports and campaigns

Socialist ideas are energising young people

Fund the fight against the Tories

Packed meeting sets out socialist policies needed to defeat the Tories


International socialist news and analysis

Palestinian prisoners on mass hunger strike protest

Brazil: General strike against Temer regime


Socialist Party comments and reviews

Barcelona May Days 1937 - a civil war within a civil war

Hull workers who fought in the Spanish Civil War

The Socialist inbox


 

Home   |   The Socialist 17 May 2017   |   Join the Socialist Party

Subscribe   |   Donate   |   Audio  |   PDF  |   ebook






Related links:

Royal Mail:

triangleRoyal Mail forced back under threat of action

triangleRoyal Mail bosses block strike - back postal workers

triangleCWU fights court attempt to stop national strike

triangleSet for national strike action

triangleCWU strike ballot to win 'Four Pillars'

Government:

triangleMay elections: a chance to fight attacks on health and social care

triangleChild poverty to hit 5m by 2021 - strikes can stop the cuts

triangleStriking analysis in heat of 1917 will deepen any reader's understanding

trianglePoland: huge demos against right wing government's abortion ban

Public ownership:

triangleA socialist approach to Corbyn and a customs union

triangleToys R Us, Maplin: worsening retail crisis claims more jobs

triangleMcDonnell says Labour would put services 'irreversibly' in workers' hands

Privatisation:

triangleLeeds TUSC: How can we stop NHS cuts & privatisation?

triangleLeeds TUSC: How can we stop NHS cuts & privatisation?

CWU:

triangleBT can afford more - reject pensions offer

Labour:

triangleBristol South Socialist Party: How can councils protect public services?

Economy:

triangleSocialist Party congress 2018

Jeremy Corbyn:

triangleFor a fighting, democratic Labour Party

Margaret Thatcher:

triangleGripping spy thriller exposes hypocrisy of Falklands/Malvinas war

Public sector:

triangleGender pay gap figures show need for trade union action

Reports and campaigns

Reports and campaigns

22/4/18

Bromley

Bromley library workers win strike campaign

18/4/18

UCU

UCU members vote to end pensions dispute

18/4/18

Usdaw

Usdaw conference 2018: time for new era of fighting trade unionism

18/4/18

Leeds

Victorious Fearnville Fields campaigners thank the Socialist

18/4/18

Hull

Hull says no to war, no to austerity

18/4/18

The Socialist

The Socialist - a fighting, campaigning, workers' paper

18/4/18

Socialist Party

Building fund: 150,000 milestone smashed!

18/4/18

Fighting Fund

Give us your change (and more) to fight for system change!

18/4/18

Scotland

Workers' victory over anti-union Scottish council

18/4/18

Newham

Avenue School strikers and parents win judicial review

18/4/18

PCS

Vote for a left, fighting PCS leadership

18/4/18

PCS

PCS rejects Acas offer - further strikes announced

18/4/18

Bromley

Bromley libraries - indefinite strike action continues

18/4/18

Butterfields

Butterfields tenants join TUSC campaign

13/4/18

Cuts

Fighting the cuts to women's services

triangleMore Reports and campaigns articles...


Join the Socialist Party
Subscribe to Socialist Party publications
Donate to the Socialist Party
Socialist Party Facebook page
Socialist Party on Twitter
Visit us on Youtube

LATEST POSTS

CONTACT US

Phone our national office on 020 8988 8777

Email: info@socialistparty.org.uk

Locate your nearest Socialist Party branch Text your name and postcode to 07761 818 206

Regional Socialist Party organisers:

Eastern: 0798 202 1969

East Mids: 0773 797 8057

London: 020 8988 8786

North East: 0784 114 4890

North West 07769 611 320

South East: 020 8988 8777

South West: 07759 796 478

Southern: 07833 681910

Wales: 07935 391 947

West Mids: 02476 555 620

Yorkshire: 0114 264 6551

ABOUT US

ARCHIVE

Alphabetical listing


April 2018

March 2018

February 2018

January 2018

2017

2016

2015

2014

2013

2012

2011

2010

2009

2008

2007

2006

2005

2004

2003

2002

2001

2000

1999