Jeremy Corbyn leaves a ‘mammoth hole’ in Labour’s plans after failing to explain how much FOUR nationalisations of industries would cost the UK
Labour has pledged to 'take back control' over the water industry, 22 energy networks, the railways and Royal Mail
JEREMY CORBYN left a mammoth hole in Labour’s plans after failing to spell out how much FOUR sweeping nationalisations will cost.
Labour revealed plans to “take back control” of the water industry as well as 22 energy networks across the UK - claiming it will cut household bills by £220.
The party will also renationalise the railways and Royal Mail.
But Labour refused to say how much the huge buy-back would cost the country.
The water industry alone – comprising 17 different companies – has a regulated capital value of £69billion.
The National Grid’s transmissions networks and 22 separate regional power distribution firms are worth an extra £65billion.
Challenged today, Jeremy Corbyn said it was impossible to say how much nationalising water would cost because “we don’t know what the share price would be at the time that we do it”.
Labour insiders said that under their plans a future government would issue bonds to raise the funds to buy water companies and the 22 regional electricity and gas distribution firms.
MOST READ IN POLITICS
Revenue streams from the companies would then be used to pay the interest on the bonds.
Michael Roberts, chief exec of lobby group Water UK, stormed: “The Labour Party manifesto does not do justice to the water industry’s record.”
On the railways, Labour said it would take back control of the current franchises run by private operators in parts of the UK when they expire.
Shadow Business Secretary Rebecca Long Bailey will set out plans for the wholesale energy renationalisation Wednesday.
Labour will pledge to use nationalisation to slash household water and energy bills by a total of £220 a year.
The Institute of Economic Affairs said: “Labour’s proposals for various and uncosted renationalisations ignore several lessons from history.
“Nationalised industries are a substantial burden on the taxpayer and historically have provided terrible services.”