-
@ Anthony Accioly
2025-04-12 12:16:34
My argument wasn't about saving jobs in an unprofitable industry (I know that's the BBC's angle in the article I linked, but I wasn't trying to mimic it). I do agree with you that, in most cases, private companies do a better job than public ones, at least when it comes to non-vital resources that can be driven purely by profit. But this isn't about profitability. Britain needs pure steel. It needs pure steel today, and it will need pure steel tomorrow, even if producing it here isn’t profitable at the moment. That’s largely due to the inability to export and the small scale of the UK's steel industry. The market has been flooded with cheap steel, and countries are becoming increasingly protectionist, applying large tariffs to try to save their own industries.
My argument is about sovereignty. I've lived in countries that can’t refine pure steel, and I know what happens when the market turns and you simply can’t buy it anywhere. And trust me, the market does turn. You don't want to live in Britain without access to pure steel during the next economic boom. Or worse, in wartime or a heavily protectionist global reality. We need to have some pure steel of our own, and unfortunately, unlike gold, a pure steel reserve isn’t practical.
There are plenty of terrible, horribly managed, unprofitable companies that are still providing vital services to the country. A prime example: Thames Water. We still need water, regardless of whether Thames Water is profitable. In a situation where no local or foreign company is willing to take on a strategic resource, I’m 100% fine with renationalisation. The alternative is either bailing out a failing company or not having access to the vital resource at all when needed.
Don’t worry. When steel prices skyrocket again (and they will, that’s the nature of commodities and vital resources), I’m sure the British government will find a way to privatise it again. I’m completely fine with that too. My argument isn’t in favour of state-owned companies in general. I’m just saying that I'm okay with paying what is essentially an insurance premium to reduce the risk around vital resources. Pure steel, like water, certainly fits the bill.
Also, unlike most of what’s in the British Museum, the UK isn’t really stealing this plant. On the contrary... we’ll be paying through our noses for it. 🤣