According to recent news, Thames Water is one step closer to nationalization after the government objected to the bailout agreement. The government abandoned its plan to rescue not Thames Water itself, but those running the company, and now nationalization is on the agenda.
If we ask why Thames Water went bankrupt, the answer is that its managers, instead of managing the company optimally, believed they were there to collect hefty commissions from public funds. While these managers received record-breaking bonuses, the company was constantly failing, but they prioritized themselves over the company.
Thames Water has become a company constantly in the news for its failures, and now it’s back in the headlines. Something needs to change in this country. It’s not the government’s job to pour money into companies that managers have ruined and then cause them to fail again. It would be beneficial to remove these poorly managed institutions from the hands of these managers. Those running these companies also prevent better people from taking over because the positions they hold are like treasures to them. No one will easily give up those treasures.
It’s also worth considering the ever-increasing number of foundations. These organizations constantly advertise for free or at very low cost, raising funds, but it’s known that a large portion of this money is distributed to the administrators as commissions. These foundations also need to be controlled, and it needs to be ensured that the collected funds go to the right places. Unfortunately, it seems that philanthropy has been turned into a money-making scheme.