bis, business, Conservative, consultation, Democrat, Department, Infrastructure Bill, innovation, land registry, Lib Dem, Liberal, Mike Sivier, mikesivier, PCS Union, petition, privatisation, privatise, Queen's speech, skills, The Guardian, Tories, Tory, Vox Political
A little-known plan to sell off one of the government’s best-performing and self-financing organisations has been scrapped – not because of fears that a new system would be prone to corruption but apparently because it was “too complicated” and would have necessitated “new legislation”.
The change of heart – for whatever reason – has been taken by the PCS Union as a victory for its campaign against the sell-off, which included a two-day strike against the privatisation proposal, which members described as “secret”.
Commentators including Vox Political pointed out that the public consultation process received hardly any publicity at all and was closed before most of us even knew it had taken place.
Among the Land Registry’s many functions are quasi-judicial decisions on ownership and transfers, granting title and, crucially, guaranteeing legal rights on behalf of the state. This is not just of fundamental importance to homeowners, but an essential feature of our economy. The backbone of the system is its freedom from outside influence and commercial interest,” the article stated.
In its article on the subject earlier this month, Vox Political warned that, clearly, privatisation would put the Land Registry entirely under threat of outside influence and dominated by commercial interest.
It quoted a report in The Guardian stating: “The agency is also currently bound by government policy on procurement, designed to assist small and medium-sized businesses to compete against the oligopoly of large suppliers. But BIS [The Department of Business, Innovation and Skills] has identified this as a problem, claiming greater flexibility in the private sector to buy goods and services. In a truly astonishing move, a government agency faces being changed into a commercial company so it can avoid the very controls the government brought in to protect small businesses.”
The article also warned of “massive job losses and office closures” and said the government had “flatly refused” to publish and fully consult on these plans.
And the plot thickened considerably when it was revealed that the Infrastructure Bill announced in the Queen’s Speech would transfer responsibility for the local land charges register to the national Land Registry – away from local councils. This means it would profit from the sale of the information – while councils fear they would still have to employ staff to do the work.
All in all, the sale was shaping up into a plan to put big business – the ‘This is Money’ article suggested private equity firms and outsourcing companies – in control of a system that had been freed of any obligation towards small and medium-sized businesses, and whose work would be done by local authorities – at a cost to the council, not the Land Registry.
For any new shareholder, it would have been a licence to print money.
The PCS has already declared its delight that the sell-off has been called off. A statement released yesterday (June 29) reads: “This would be a victory for the thousands of Land Registry staff who campaigned with industry professionals against the plans, and very welcome news for millions of people who rely on it to provide a reliable, impartial and hugely important public service.
“We want the Land Registry to work with us on our proposals to strengthen the agency in future, but serious questions must be asked of senior officials and ministers who tried to push through what would have been a very damaging and totally unnecessary sell-off.”
Indeed. First among these would be: Who paid them to do it?
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