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Scoop.it!
Claim follows reports of plan to nationalise operations in event of firm going into liquidation 
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Scoop.it!
Last week saw the death knell for reforms of the NHS, probation service and the army
Graham Watson's insight:
Has the tide turned? Will Hutton thinks so, arguing that instead of hiving off public services to the private sector via contracting out and so on, the government have abandoned this approach in favour of keeping things in-house.
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Scoop.it!
The contractor, which has 45,000 UK staff, says the latest move will protect services and jobs.
Graham Watson's insight:
It appears that Interserve has been saved - but read the article carefully, especially Simon Jack's comment.
16,000 small shareholders have been wiped out. And that's the rub.
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It was Einstein who said that "the definition of insanity is doing the same thing over and over again and expecting different results" - and so it proves, with a GMB report suggesting that, much like the collapse of Carillion, the government was still giving public contracts to Interserve despite its profit warnings and exceptionally high debt levels.
Could it have been the case that the government was helping to sustain yet another business that was being run like a giant Ponzi scheme? Even more remarkably, there are suggestions that plans were being drawn up to nationalise the company in the event of its liquidation - something that would appear to be a reasonable short-term salve but that, ideologically, at least, would appear to admit that the current outsourcing model is dysfunctional.