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Re-municipalising municipal services in Europe

31 May, 2012
Privatisation, contracting out and outsourcing have been the dominant trends in public services. Now there is increasing evidence of trends in the opposite direction, according to a report from EPSU.

In a number of European countries, including Germany, France and the UK, municipalities are continuing to move towards remunicipalisation rather than privatisation, according to the EPSU-report "Re-municipalising municipal services in Europe".

Most of the remunicipalisations have taken place when an existing contract or concession with a private company has expired. The key reasons for the remunicipalisations are failures and problems with private sector performance.

And - contrary to what has been claimed - the remunicipalisations have reduced the costs. Municipalities in the UK, Germany and Finland all say that efficiency and cost issues are the most important factors for taking the services back.


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