From yesterday’s Guardian business section come two stories that demonstrate I either have no understanding of how business and government works, or there’s something very wrong in the world:
MG Rover’s directors have made £40 million out of a business that’s losing money. Apparently they “saved” the business, but even so, it seems bizarre and brazen. At least it looks like the government isn’t going to bail them out entirely.
Second, in an article about the un-loved Go-Ahead losing its franchise to run the Thameslink train line we hear that the service has “a satisfaction rating among passengers of 68% — the worst in the country” and “is officially 102.5% full during rush hours”. The following sentence then says: “It is among the most profitable lines on the national network, providing the Treasury with a surplus of £41m last year.” Double take. I’m sorry? The government’s making that much money out of a train service that doesn’t work? Ah, yes, privatisation’s obviously working for someone then.