London City Airport is now effectively under the control of investment giant Macquarie. In October the Australian-based multinational group moved to acquire 50 per cent of the business just four months after an initial 25 per cent stake.
Macquarie are notorious for their disastrous record whilst owners of Thames Water between 2006 and 2017. During that period Macquarie took out £2.7 billion in dividends, while the utility’s debts rose fourfold – from £2.3 billion to £10 billion. That debt burden continues threaten the future of Thames and undermines making essential renovation and improvement.
Neglect
After offloading Thames Water, Macquarie immediately assumed control of Southern Water, another troubled utility with a history of neglected investment and failure to guarantee a clean and unpolluted water supply.
Last year Southern Water, which Macquarie still owns, shocked its two million plus customers with an announcement that it intends a 50 per cent increase in water bills by the end of the decade.
Debt
The stake in London City airport was bought from Ontario Teachers' Pension Plan, a massive global infrastructure investor, along with stakes in Bristol and Birmingham airports.
Before that London City was owned by yet another international financial company. It should be no surprise to find that London City is burdened with debt.
‘Control of essential infrastructure lies with global capitalists.’
A global capitalist operation, known to strip value out of infrastructure companies, is allowed to lay its hands on a vital transport hub. And that’s after a succession of such owners, much like other British airports.
Minsters and parliamentary politicians debate which government can be labelled an enemy, acting against Britian’s interests. While under their noses and in plain sight control of essential infrastructure lies with global capitalists. A government which permits foreign ownership and control of precious national assets is the real enemy of British national well-being and self-reliance.