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On Tuesday, May 16, 2017, Labour made the announcement that it will include water companies in its strategies to nationalize Britain's infrastructure.Labour's manifesto omits funding details.
Last week, The Telegraph received a leaked draft of Labour's manifesto, and it consisted of strategies intended to nationalize Royal Mail, National Grid, and the railways; however, there were no details indicating any increased funding to match the addition of water companies to this plan.
Conservatives joked about the manifesto being in "shambles," claiming facetiously that it had been costed by secret home secretary Diane Abbott who became famous for muddling figures when she announced a new policy regarding extra police officers at an earlier point in the election campaign.
Labour's intentions for nationalization of the utilities requires the state to borrow £250 billion.This remains the same figure already proposed prior to the addition of water companies to the manifesto, which does nothing to explain the cost of nationalizing each industry or pricing other significant capital projects like according HS2 to Scotland.
Labour Party Leader Jeremy Corbyn explained that the cost of each project cannot be specified yet because "we don't know what the share price would be at the time that we do it," which speaks to doubts about whether or not Labour can rest assured that borrowing £250 billion will even suffice.
Collectively, private water companies are valued at £66 billion, having taken control of 10 local water boards back in 1989.Conservatives estimate that another £9 billion is needed to privatize the railways, and National Grid will reach as high as £50 billion.More comparable to the privatization of railways, privatizing Royal Mail is expected to cost £4 billion.