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Dominic Raab MP: We need to arm the little guy to take on big business (Conservative Home)

    Dominic Raab MP writes on the upcoming Centre for Policy Studies paper, 'Capitalism for the Little Guy - 10 Ways to Extend Competition and Strengthen Consumer Clout', on Conservative Home on Sunday 17th February 2013.

    To view the full article, please visit the Conservative Home website

    "From bank interest rate-rigging to soaring water bills, free market enterprise is dogged by criticism that it stands for parasitic cartels - not the ordinary person. Yet, the weakness of capitalism lies not with the free market, but where it lacks competition. We need a consumer revolution to arm the little guy to take on big business.

    De-regulation since the 1990s strengthened UK competitiveness and productivity. But, what was in it for a London cabbie, or a hairdresser in Newcastle? Plenty. He could fly to Nice on holiday 83% cheaper. She could call her sister in Australia at a fraction of the tariff - or buy her son a football T-shirt at a 15% discount. Whether it was the latest Tom Clancy thriller from Waterstones, or a flu remedy at Boots, it cost them less.

    Since then, capitalism’s reputation has been tarnished – from bailed out banks to water executives pocketing bonuses in a year that saw the dual farce of floods and hose-pipe bans. For many, it points to systemic failure. Yet, these flaws point to a lack of competition that should allow consumers to deprive lousy service providers of their custom. The ‘big six’ energy suppliers wrap up 98% of the market - yet none rank above ninth place for customer service. The ‘big four’ banks control 78% of the current account market - but are some of the most loathed by customers.

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    Tomorrow, I am publishing Capitalism for the Little Guy - 10 Ways to Extend Competition and Strengthen Consumer Clout with the Centre for Policy Studies, calling for an expansion of competition to increase customer choice."

    To view the full article, please visit the Conservative Home website


    Date added: Monday 18th February 2013