In the News

Would households benefit from nationalisation of the energy sector?

Graham Watson

25th September 2022

The Director-General of the TUC, Frances O'Grady writes a piece that tangential looks at distribution theory and wonders whether the UK energy market generates the desired outcomes, or whether it simply incentivises firms to exclusively focus on profit-maximisation, funnelling returns to shareholders, rather than distributing those returns more evenly among stakeholders.

In essence, it wonders whether private ownership of energy companies is a good thing - and offers some counter-examples of why continental Europe might be better served by their markets and forms of ownership.

The TUC have commissioned research that reaches a fascinating conclusion: nationalisation of UK energy companies could save households up to £4,400 and the 'profits' of the companies could be used to insulate homes too.

Graham Watson

Graham Watson has taught Economics for over twenty years. He contributes to tutor2u, reads voraciously and is interested in all aspects of Teaching and Learning.

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