By Claire West
This year has seen parts of major UK players, such as RBS and Royal Mail, being sold. The Office for Budget Responsibility has estimated that in the financial year of 2015-16, the government could procure £32bn from the further selling of public assets.
Previous records have been in 1987, when parts of BA, BP, Rolls-Royce and other firms collectively raised £22.7bn (adjusted for today’s inflation rates); and again in 1991 when BT, National Power, and other power companies raised nearly the same amount, totalling at £22.6bn.
The new Conservative government has made it known that privatisation will be continuing, with eyes turned to stakes in bailed-out banks and unused government property and land. Other deals include the sale of the government’s stake in Eurostar and its stake in Urenco. Any other potential sales have not been made clear yet.
While these sales will not help with in regards to the country’s deficit, it will go some way towards reducing the UK’s overall debt and its respective interest.