April 1st, 2014

SKETCH: So How Many Royal Mail Shares Did Labour Buy?

Years ago, I felt a British decline in my bones, and an imminent currency collapse – lo, it came to pass.

Sterling almost went to parity with the US dollar and I said, with triumph, to a banker friend, “I knew that was going to happen.” He looked at me with admiration, “So, how much did you make?”

“Oh, I didn’t.”

Then what contempt! “So, you didn’t know,” he said, witheringly.

When Labour denounce Cable and Fallon for selling the Royal Mail too cheaply, at a knocked-down price, on firesale terms, with a guaranteed profit built-in – it is worth asking how many shares they bought?

Chuka told the Commons this afternoon that the Government could easily have got hundreds of millions more – it does beg the question, did he tell his investment planners, his analysts and brokers to put in for the maximum allocation? He could have donated the guaranteed, safe-as-houses profit to Labour’s election campaign.

Vince didn’t do as badly as Labour might have hoped. He had a neat answer as to why so many “long-term investors” got out so quickly. “They considered the price after the sale was over-valued.”

Some quiet, admiring laughter. Some yelps.

His other defence was Labour’s record in selling Qinetiq. That went for £125m, the civil servants and advisers got £107m, and the company was promptly valued at over 10 times the initial offering: £1.3bn.

There is much to jeer at in the Royal Mail sale, and much to criticize, no doubt. But it’s not absolutely clear that Cable and Fallon would, in China, be hanged as economic criminals.

What it does show is the constitutional inability of politicians to get the best price for assets. They’re not set up for it. The incentives are all wrong.

And poor old Vince. Now that the share price has doubled, he looks like another Tory fall-guy. His privatization of Royal Mail bookends a career that started by introducing £9,000 tuition fees. He has turned out to be a good punchline for the best Tory jokes.

What will they make him do next? Tax food banks? Make people pay for their own disability assessments? Charge for Employment Tribunal actions? Make people pay for A&E! He really deserves to go out on a high.


66 Comments

  1. 1
    osrick says:

    Also don’t forget Brown sold gold reserves at average $275 per ounce. Look at price now.

    Like

  2. 2
    STEAMING TURD says:

    THERE IS PHRASE “LAYING A CABLE”

    Like

  3. 3
    Government ministers are right because they say so says:

    Man in the street – “it’s dark at night.”

    Vince Cable – “No it’s not.”

    Idiot on the Clapham omnibus – “This bus goes to Clapham.”

    Michael Fallon – “No it doesn’t.”

    Galileo “The earth orbits the sun.”

    Government ministers “No it doesn’t.”

    Like

    • 26
      A nonny mous says:

      Talking of the lying hypocritical lib dems and Cleggs smearing of Farage.

      It seems Clegg was an advisor to the Russi@ns, Putin, G@zprom and none other than Gadaffi….

      It seems if you lie often enough and big enough, you can get away with it..

      http://www.breitbart.com/Breitbart-London/2014/04/01/Cleggs-private-partners-side-with-Putin-too

      Nick Clegg was once a partner in the Brussels lobbying firm which counsels Russian president Vladimir Putin “in major international news stories.”

      The firm, GPlus Europe, also acts in Brussels for Gazprom, the Russian state-controlled energy giant which has threatened to stop gas shipments to Ukraine.

      Clegg’s former partners, who have offices in a prestige address around the corner from the European Commission, the European Council, and across the road from the United Kingdom’s Permanent Representation to the EU, boast they can “shape the debate on issues” in the EU institutions. They assure clients such as Putin’s Russia that their lobbyists can “plan actions to achieve your goals.”

      However, Clegg’s time as a partner in GPlus Europe is omitted from his biography on his own website and from his official website as Britain’s Deputy Prime Minister, even though a Liberal Democrat spokesperson told Breitbart London that it was “a matter of public record”.

      Also omitted from his official biography is mention of his career in the early 1990s as a lobbyist with GJW Government Relations, whose subsidiary GJW International worked a multi-million pound public relations account on behalf of Libya under the regime of Muammar Gaddafi.

      The account included advising Gaddafi on his position on the Lockerbie bombing.

      Like

      • 37
        still walking into darkness says:

        I met a Peruvian lap dancer a few weeks ago who for some reason or other got it into her head that I could arrange for her to meet Nick Clegg, why she thought that and more importantly why she wanted to meet him will remain a mystery.
        Perhaps she’s planning an atrocity or something and thought he could advise her on PR for the aftermath.

        Like

      • 40
        Garfield says:

        Well If that stands up I hope our Nigel will use it, mind you the BBC will have the prog on a time delay so they will be able to erase it, tech difficulties sorry.

        Like

      • 54
        the mystic mould with the appearance of the face of Jesus says:

        I read that as “Britain’s Deadly Prime Minister” it has a strange ring to it.

        Like

    • 35
      Bosun Higgs says:

      Actually, the Earth orbits the centre of mass of the Solar System. OK, same diff I suppose.

      Like

  4. 4
    Can black people be racist? says:

    Fascinating stuff, blud!

    Like

  5. 5
    Michael Fallon's approach says:

    I know it’s a Rolls Royce b ut if I sell it for £50 it’s bound to sell and that would be value for money.

    Like

  6. 6

    Cable is also slang for the pound dollar fix, but what that has to do with the price of eggs…

    Like

  7. 9
    Firm But Fair says:

    Labour can’t have it both ways. They were talking down the privatisation and their union baron backers were talking of a wave of strikes. No wonder the price wasn’t good.

    If Labour had supported the sale and it was backed by a constructive union the sale price would have been much higher.

    Like

    • 11
      No jam, just lard says:

      When the EU told the Liebour crap to sell the Royal Mail during their reign of terror, they passed it to Mandy and all he did was to try and discredit the posties in an attempt to get the price so low the posties would fall over themselves to get it sold just to keep what was left of the jobs, it wasn’t until they got some real management in , it started to make money ,but the EU wanted it sold and like all good zombies the politicians were only following the EU’s orders.

      Like

  8. 12
    Owen Jones Book of bum facts says:

    I may not have been a coal miner but that book I wrote certainly was the pits.

    Like

  9. 14
    Daedalus says:

    Ah the dollar at parity to the pound; happy days. I was getting paid in dollars back then, I blew the extra quids on a bespoke Harris motorcycle that I still own.

    Daedalus

    Like

  10. 17
    Reverend Flowers says:

    “He really deserves to go out on a high.”

    How much does he charge for K?

    Like

    • 58
      Just Saying says:

      The man Cable is a danger to us all.
      He should go, but not over the Royal Mail IPO but a host of private sector “initiatives” that proved to be damp squibs.
      Go out on a high? Yes on a high yardarm.

      Like

  11. 21
    April Fools says:

    Like

  12. 28
    David Cameron's army training guide for educationally subnormal bummers says:

    Multiple Choice Assessment

    1) An enemy combatant in identifiable uniform has fired several shots at your position with clear intent to either maim or kill.

    Do you:

    a) Return fire, when it is safe to do so.
    or
    b) Shout ‘Hater’ and hope the enemy combatant goes away shamed.

    Like

    • 31
      No jam, just lard says:

      c) do you jail the soldier who shoots back and kills the enemy combatant.

      After all we are not at war with these lovely people, we are just there spending our billions in helping their politicians to set up a nice Swiss bank account and at the same time help them help German motor industry.

      Like

  13. 29
    Two giggly ladies says:

    I wonder how his “nuclear option” is going?

    Like

  14. 30
    Chuka Umunna says:

    He at least gave us the “from Stalin to Mr Bean” line on Gordon a few years back.

    Gordon’s face was a picture.

    Like

  15. 32
    Bosun Higgs says:

    Can somebody explain why they didn’t just invite bids for Royal Mail shares, like on eBay?

    Like

  16. 33
    Gordon McBreath says:

    When I said I wanted to be free of all guilt the Treasury sold the gilts.

    That’s the story I tell in my book and I’m sticking to it.

    Like

    • 43
      Scrap metal merchant says:

      I think that was how our last “fully operational” aircraft carriers were disposed of.

      If I remember rightly they both sold off for 50p each.

      Like

  17. 34
    Ralpho says:

    “So How Many Royal Mail Shares Did Labour Buy?
    how many did UKIP, LAb, Con, LibDem, and Independent,
    MPs, and councillors buy
    should be the question.

    Like

    • 63
      Tel E. Caster says:

      No it shouldn’t as they wouldn’t have been ideologically opposed to the sale the way that Labour were.

      Like

  18. 44
    Gerbil 7 says:

    Excellent sketch as always and again, right on the money… as it were.

    Like

  19. 45
    Winston says:

    So to summarise, the three main parties are equally incompetent, corrupt and wasteful of our money. Vote UKIP.

    Like

  20. 47
    jgm2 says:

    How many shares did Labour buy?

    Same argument I always deploy to the bedwetters when they whine about the miners and BL.

    Why didn’t the miners and BL workforce simply buy the mines and Longbridge? Then the workers really would own the means of production. But of course they don’t want to own the means of production. They want somebody else to own it and for that ‘somebody else’ to pay them whatever they think they’re worth. Generally about three times what they’re currently getting.

    Like

  21. 48
    Gerbil 7 says:

    On a separate note, Japan has just jacked its purchase tax up to 8% and rumour is that it will hit 10% next year.
    This is to pay back the trillions that were pumped in to the economy by the Keynesian Prime Minister last year – well, somebody has to pay it back.
    Japan was bumbling along the bottom but now it’s headed for free fall.

    Like

  22. 49
    Banana Republic Britain says:

    Foreign exchange reserves expose UK’s vulnerability to financial crisis

    http://www.telegraph.co.uk/finance/currency/10736803/Britain-holds-less-foreign-currency-reserves-than-Poland-says-Deutsche-Bank.html

    Britain holds only slightly more foreign currency reserves than Peru, says Deutsche Bank

    Like

  23. 60
    Steve P says:

    It was very evidently underpriced. So much so that I DID apply for shares, despite not having planned to.

    I had no intention of participating as I have no desire to own shares in it. But it became obvious that there were a few hundred tax-free quids to have so I subscribed for what turned out to be a well judged number – enough to get max allocation but not so many as to get nil.

    Flogged them at the off – “leave some for the next man”

    I used to play this game in Singapore so knew the score.

    Like

  24. 61
    bartslartbastard says:

    A lot, a LOT, of people connected with the State are going to be very, very wealthy when they retire.

    In 2015…

    Like

  25. 62
    micant1812 says:

    Reblogged this on My Blog.

    Like

  26. 64
    Anonymous says:

    “How Many Royal Mail Shares Did Labour Buy?”
    We may never know. If the application, like the EU plebicite, got lost in the post.

    Like

  27. 66
    Dania Budine says:

    Guys i found awesome money making method i think it should work, search in google for – rimolo roulette system – and let me know what do you think about it

    Like


Seen Elsewhere

Labour Failed Those Victims | Labour Uncut
We Cannot Ignore the Race Issue Here | Dan Hodges
74 MPs Who Back Stop Mills Motion | Speccie
Milibande | Ian Birrell
The True Meaning of Political Correctness Gone Mad | Speccie
Nigel, Nigel, Nigel! | Bloomberg
Bercow Blinks | Guardian
Speaker on the Ropes | Indy
Outgoing Clerk Slams Bercow – Row Goes Very Public | BBC
Darling Was Wrong on OBR | Speccie
Climate Change Cools Off | Washington Times


VOTER-RECALL
hot-button new-advert


Shaun Wright’s understatement about the Rotherham child abuse scandal…

“..I could have taken more action and probably dealt with this issue better.”



Owen Jones says:

We also need Zil lanes.


Tip off Guido
Web Guido's Archives

Subscribe me to:






RSS




AddThis Feed Button
Archive


Labels
Guido Reads
Follow

Get every new post delivered to your Inbox.

Join 1,427 other followers