Comments on: Too little competition, too little choice

By: Ross J Warren

Ross J Warren — Fri, 27 Nov 2009 21:22:59 +0000

The Royal Military Collage of Science, hardly a terrorist organisation, but I do follow your point. This keeping of data is yet another manifestation of our current Stalinist (like) government, I feel. Coming under surveillance is hardly fun, but I sleep sound knowing that I am a patriot, and 100% a democrat to boot.

Note: RMCS is now called The Defence Academy – College of Management and Technology (DA-CMT). Saying that it will always be RMCS to me and many who had the pleasure to work at it, or live near it. A great place to do cutting edge sciance. I ran my first computer programs there in 1972-73. Using a ICL mainframe computer. hardly more powerful than a few dozen calculators.

By: Mark

Mark — Fri, 27 Nov 2009 19:12:18 +0000

A shared ownership oil or gas pipeline may provide an interesting model. While there is one company that is in charge of the actual operation, the other companies usually supervise the engineering and financial audits and may also second key managers into the operating company. The advantage is that there are professional eyes on what the operating company is doing. There also tends to be a far greater interest in estimating the true input/output balances because these can trigger payments, so in the case of water, there might be rather stronger pressure (!) to repair leaky pipes.

By: Ross J Warren

Ross J Warren — Fri, 27 Nov 2009 17:43:27 +0000

The Royal Military Collage of Science, hardly a terrorist organisation, but I do follow your point. This keeping of data is yet another manifestation of our current Stalinist government, I feel. Coming under surveillance is hardly fun, but I sleep sound knowing that I am a patriot, and 100% a democrat to boot.

By: Mike Stallard

Mike Stallard — Fri, 27 Nov 2009 16:35:52 +0000

RCMS? Who he?
Aren’t the EU going to force ISPs to keep all e mails for a couple of years in case their bureaucrats would like to flip through them? Terrorism or something…..

By: Michael Lewis

Michael Lewis — Fri, 27 Nov 2009 11:40:34 +0000

The Bank of England certainly don’t think Gilts are a safe bet – they are buying them through QE – hence the correct description by Neil of the Ponzi scheme.

By: Ross J Warren

Ross J Warren — Fri, 27 Nov 2009 11:18:55 +0000

(Fair enough editor I understand)

I agree waramess, we need to be squeeky clean in this respect.

By: waramess

waramess — Fri, 27 Nov 2009 09:53:41 +0000

Clearly the Bank of England view Gilts as a safe bet because they seem to be the only buyer, and when they stop the clearing banks will be buyers in order to satisfy new Government liquidity rules.

There’s no room for anyone else

By: waramess

waramess — Fri, 27 Nov 2009 09:49:36 +0000

Yes, and what a (pity?ed) that The Telegaph used stolen discs to unveil the MP’s expenses scandle. Lets make sure we do everything legally and put to rest those minds more devious than our own

By: Kevin Peat

Kevin Peat — Fri, 27 Nov 2009 08:32:42 +0000

Unfortunately I fixed my interest rate about seven years ago. I did this in the firm belief that any sensible govt would have controlled the ‘boom’ that was being driven by property speculation. They didn’t … and here we are.

I put much of this credit crunch down to 9/11. The Fed were about to raise interest rates to deal with the Dot.Com bubble and then the Twin Towers were attacked. They kept interest low to prevent global economic collapse – well you can imagine … when the WORLD Trade Center, no less, is turned to rubble then “Huston we have a problem !” I recall very little change to our every day lives (save extra security everywhere) So what happened to the ripples from this disaster ? Well that’s what we’re going through now.

A transatlantic property bubble – which should have been addressed 9 years ago – was allowed to go on, nay deliberately stoked, in order to mitigate the effects of Bin Laden’s attack.

By: Ross J Warren

Ross J Warren — Fri, 27 Nov 2009 08:30:29 +0000

Brian and Mike,

The leaking of those E-Mails is an absolute disgrace, and hints at (questionable deeds-ed). However sceptical we are about climate change being linked to Co2,
We should stay firmly inside the law. IMHO.
I have been pressing for the RMCS to be tasked with getting to the bottom of the whole Co2, and man made climate change debacle, with the clear brief to answer the question without bias. I believe very strongly that RMCS, would be the best institution, as they have both great science and these days, great security.
We really do need to know what is driving the rising temperatures that we have seen since the end of the mini-ice age. I do hope that laws will shortly be amended to protect private e-mails from the kind of abuse we have witnessed recently. Indeed privacy and the press is another of those issues that is likely to see me, getting rather grunmpy.

By: Ross J Warren

Ross J Warren — Fri, 27 Nov 2009 07:38:13 +0000

Sol 5° Sagittarius, Luna 5° Aries Dies Veneris
27 November 2009 e.v. 07:58

It has also to be added that Cows produce a large amount of Methane gas, a notorious green house gas. Saying that its not for politicians to force diet change on the population IMHO.

By: adam

adam — Thu, 26 Nov 2009 23:58:46 +0000

unrelated,
could you raise this mans case (Gary McKinnon) in parliament, or direct it to an appropriate person who can, id be very grateful.

Reply: I objected to the one sided extradition agreement that government negotiated with the US, and have along with other MPs taken this case up with Ministers.

By: alan jutson

alan jutson — Thu, 26 Nov 2009 20:21:55 +0000

A Sedgwick
If you can prove that your rainwater waste goes into a soakaway, you may get a reduction.

In addition suggest you investigate a water meter, it has halved our bills. (bigger the House, fewer people in it, bigger the savings)

Even my Daughter has reduced Bills with a water meter, living in a starter home.

We are unfortunately now paying for years of under investment in the water supply system.

You are being charged twice because what goes in one end, usually comes out of the other.

By: david

david — Thu, 26 Nov 2009 19:53:18 +0000

Hmmm not content with Zac Goldsmith, I see another (person with unusual views-ed) has Mr Cameron’s ear, Blond!! Well you know what they say about Blondes.

http://www.dailymail.co.uk/news/article-1231248/Tories-new-guru-says-Britains-big-supermarkets-broken-big.html

When are you off to UKIP John can’t be long now.

By: davidb

davidb — Thu, 26 Nov 2009 19:30:20 +0000

The competition authorities have been toothless for years. The banks have been allowed to grow huge, but so too have a handful of retailers. In the industry I work in one company is buying up all their competition and aside from the increase in incompetence are clearly abusing their monopolistic power in pricing such mundane items as filter elements.

There have to be limits to the market shares of companies, and not in the 25% to 30% kind of range. Much lower maximum shares nearer say 10% have to be imposed. But that requires state intervention. The opposite of free markets. How do we square that circle?

By: andy dan

andy dan — Thu, 26 Nov 2009 18:57:36 +0000

My water rates with Dwr Cymru (Welsh Water) have increased by an average of 7.6% per annum over the last 5 years. I did complain once, but didn’t get any specific reasons for the continual above inflation increases. They just claim to be “investing” in the infrastructure. I’ve noticed that a lot of the actual pipe replacement seems to be done by contractors.
They make a big thing of being a “non-profit organisation”, because I think they think people will see them as being like a charity. Everything comes in two languages. My wife speaks Welsh, but why can’t people just choose one or the other for their bill?
They also discourage people from installing a meter, even when savings would definitely be made.

These utility rises affect the lowest paid people living in rented housing the most. Electricity and gas rates from pre-payment meters are considerably higher than normal rates. The electricity meter goes down by about 40 or 50 pence a day, if no electricity is used. That equates to quite a considerable rent for the meter.
There could be a few votes in telling the companies they can’t get away with this.

By: Bazman

Bazman — Thu, 26 Nov 2009 18:36:59 +0000

Competition in water already exist in the form of bottled water and electricity in buying a generator. That’s that problem solved then. I’ll get the kettle on.
How many water grids could have been paid for using the banks unauthorised overdraft? This is the real solution to the water problem along with compulsory underground rainwater storage for all new properties.
There is no competition between electricity companies. They are little more than billing companies with forty quid difference between them. The same would apply to water, which at the moment are no more than management companies receiving a fee for operating companies that take subsidies but make profits. Lets stop pretending that there would even be a service for most people if these companies where truly private. A bit like banks, really little more than golf club cliques leaning on the taxpayer.
At least the Soviet Union eventually collapsed. Have a kip John and dream about the Conservatives allowing every council and private individual to build and operate their own small nuclear reactor/desalination plant. About as likely as a Conservative government breaking up the banking system to allow competition. What you fail to mention is that competition is bad for profits. If you ran a sandwich shop why would you want any rivals?

By: Jamess

Jamess — Thu, 26 Nov 2009 18:25:58 +0000

John,

how would competition work in the water industry? Doesn’t the infrastructure impose a monopoly on supply to the individual person?

The only solution I can think is for consumers in an area to be able to vote for the company that manages water supply – the company that offers to run the system for the cheapest bills would almost inevitably win the election.

Would value your thoughts on how you’d see competition working

Reply: Exisitng pipes as a common carrier, with a right for new companies to build new pipes if they wish or to supply through existing pipes.

By: Michael Lewis

Michael Lewis — Thu, 26 Nov 2009 18:09:29 +0000

Correct, but its a transparent Ponzi scheme. Witness the foreign investors take their money off the table and leave the UK gilt market and dump our currency. I’m amazed by anyone that thinks UK gilts is a ’safe’ investment, along with UK real estate, its hard to think of a worse investment right now. Possibly some premier league football players with tasteful apartments in certain Gulf states might think of something ….

By: Stuart Fairney

Stuart Fairney — Thu, 26 Nov 2009 17:52:53 +0000

Well if you are an interest only borrower on a tracker then maybe the 20% figure is true, but I am not sure that would constitute “a lot” of borrowers. Those with repayment mortgages still have to repay the capital and that is a reasonable element of some mortgages.

I think maybe the retail sales are up partially as a result of delayed or mandatory purchases (like £600 to fix the roof of my car! ~ thank you German sports car manufacturer) , I am really not sure how much discretionary spending is going on.

I have to agree with you on the last point however, but if you think you are being screwed now, just wait until you see the interest/inflation gap in the next one, two, three years. That’s when the real value of savings and some investments (setting aside Sterling’s international depreciation!) will really start to decline. Ergo all the ‘cash for gold’ adverts ~ i.e. give us your valuable asset and we will give you fiat paper.