News has emerged that the Government is considering providing British Steel with a £75 million loan to prevent the company from becoming insolvent. The ASI has consistently opposed corporate bailouts on the basis that taxpayer money should not chase failing businesses.
Matthew Lesh, Head of Research at free market think tank the Adam Smith Institute, says:
“This massive loan is as good as shovelling taxpayer cash into a furnace. The British public should not be forced to subsidise failing, heavily polluting businesses like British Steel. Just like any other company, if you cannot convince enough people to buy your product to cover the costs then you shouldn’t exist. Too big to fail is a myth. The proposed £75 million loan comes after £100m of taxpayer cash was bunged over to the company just two weeks ago, amounting to a whopping £43,000 per employee.
“The Conservative Government should not adopt Labor’s socialist policy agenda. The British people are sick of massive corporations, who have close connections with the government, getting huge handouts at the taxpayer’s expense. It is time to leave the era of taxpayers propping up failing businesses where it belongs: in the past."
If you have any questions or wish to arrange an interview with Matthew Lesh please contact ASI media line on 07584778207 or via firstname.lastname@example.org.