Sale of energy firm OVO to German company EOn, which already has a sizeable slice of the dysfunctional UK energy market, for a reputed £600 million; a sum that should help restore its founder’s fortune following his contribution to a newer venture altogether in the form of flying taxi developer Vertical Aerospace. The latter is something the UK government ~ in a desperate effort to place all its chips on one of the few remaining gambles less likely to decamp abroad at the first opportunity ~ is practically the only electrified form of flight that it has backed in a substantial way.
An obvious reason for doing so is that politicians rarely know anything much beyond the palace of Westminster and how to profit personally from it, and thus rely upon what they consider to be the safest bet. This is generally, and especially when it comes to defence, companies like BAE Systems that already enjoy financial backing from abroad… combined with the fact that companies like Vertical can afford the salaries of people either skilled in pursuit of government grants or otherwise skilled in kissing the asses of those responsible for signing them off. Back-handers may or may not feature, the likes of BAE proven to be expert in that department too.
The energy market is another thing that we have to thank Thatcher for, and is something that sticking-plaster socialist governments are unlikely to improve, which is why they are so unpopular ~ like so much of life in the 21st century, they (and it) stand for little else beside handouts, as it’s something simple that requires none of the imagination they lack anyway.
What struck me about it was around the time of the Covid pandemic they said over eighty had gone bust, the best-known of which was ‘Bulb’ although there are many shittier names than that, not least OVO… or new-biological OVO as we expect Germans to call it. This reflects the fact that whereas state-run entities like the electricity boards had to put an infrastructure together, what modern energy firms (and broadband operators) need is a billing system and a silly name. OVO garnered customers with a claim to only use green energy, which you may believe. You may also believe the Earth is flat and the Moon made of cheese, as I do.
If you watch the YouTube channel Economics Help, which is like WWE wrestling to the likes of me, you’ll see how the only real ways that the UK can dig itself out of long-term decline is either by printing money ~ which is like ordering beer during a party that you’ll never be able to pay for ~ or else flogging off the family silver to foreigners.
As this great green hope has done ~ but who’d blame them when the house is folding?
Ed. More cheery posts soon!
