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Proceeding contribution from Lord Lea of Crondall (Labour) in the House of Lords on Tuesday, 8 March 2011. It occurred during Committee of the Whole House (HL) and Debate on bill on Postal Services Bill.


Postal Services Bill

My Lords, it is often said that it is a fallacy that the price is much lower than the value soon after privatisation. It is a matter of the scale of the difference. I have some data on the big privatisations that took place under the Conservative Government. In one year, the average share issue premium on major shares issued was 7 per cent. On privatisation issues the average premium on the first day of trading was 77 per cent. That is 10 times more. Is that not prima facie evidence that the public tend not to get a good deal on these big privatisation issues?


Secondary information

Type
Proceeding contribution
Reference
725 c1545 
Session
2010-12
Chamber / Committee
House of Lords chamber
Subjects
Industrial relations Finance Investment Privatisation Workplace pensions Parliamentary scrutiny Staff Pension funds Profit sharing Postal services Post Office Modernisation Shares Reform Shareholders Royal Mail Sunset clauses
Legislation
Postal Services Bill 2010-12
Link
View this Proceeding contribution on www.publications.parliament.uk