The Abbott government intends to sell off the juicy plumb ‘Medibank’ private health fund. Medibank paid a $450 million dividend to the federal government in the past financial year. The funds profits are seen as very healthy indeed, not so some of its members. Medibank generated $5.3 billion from private health insurance premiums for the financial year, and this is expected to grow by half a billion next year. A very healthy business by any stretch of the imagination. The government will claim a mandate for this sell off. Next on the agenda for what may be a fire sale of juicy plumbs is ‘Australia Post’, well at least the most profitable parts, I’m sure the losses on the “letter” business, about $160m, will be well and truly left in the hands of the taxpayer. In 2012 Australia Post, delivered a very healthy dividend to the Federal Government of $213.7m. By World standards Australia Post is seen as one of, if not the best performing postal service.
Now Abbott is eyeing what may be the juiciest plumb of them all, to throw into his one off fire sale, the $23 billion worth of HECS university student debt. Now that would be a real winner for the coalitions “mates”, a business that is expected to grow to $42.1 billion by 2016/17. Abbott has no mandate to sell HECS or Australia Post. The private sector isn’t lobbying for this change to HECS out of the goodness of their hearts. They’ve looked at the United States, where private student debt is over $1 trillion and are keen to replicate that very profitable model here. The incentive for capitalists to “take over” student debt in Australia is the Coalition’s plan to slash Start Up Scholarships, adding thousands of dollars to the already crippling debts of low income students.

I am just as horrified by these planned 'sell-offs' by this Government ,Paul.
Especially as I am a member of Medibank Private!

If it is sold, I will immediately get out of it, as I am sure the premiums are bound to increase more rapidly than if it was left with the Government.

Australia Post may also be sold. What worries me is what will be left to sell after all the Government Assets/businesses are sold off?

Stop worrying Suse, if it's sold off, just like Telecom/Telstra, they will get rid of the 65% over manning, make a fortune, & the prices won't have to go up.

The only one we should not have got rid of was the Commonwealth Bank. Not only did it make a profit, it controlled the others by it's presence.

Of course we all know ho sold that, now don't we?

Paul1405

Why should you care about Medibank?

The Greens oppose private health cover.

Actually, that's quite funny, Suseonline.

>>If it is sold, I will immediately get out of it, as I am sure the premiums are bound to increase more rapidly than if it was left with the Government.<<

Medibank already has the highest cost policies in the market. And because they buy their hospital services at the same price as all the other health funds, they make the biggest profits from your patronage, and the millions of unaware consumers like you. Where did you think this came from...

>>Medibank paid a $450 million dividend to the federal government in the past financial year.<<

Out of your pocket, that's where.

Just another form of taxation.

Just an aside...

http://www.abc.net.au/news/2013-10-17/koukoulas-budget-emergency-fiction/5028770

"Tony Abbott has wisely left Australia's fiscal settings exactly as they were under Labor, putting the lie to his hysterical pre-election economic rhetoric.....

...Almost two months after a thumping election victory, there is not one hint of any economic policy change from the Abbott Government that will deal with the budget bottom line. Yet until the day before the election, this was painted by the Coalition as an "emergency" or "crisis".

The reason is obvious. The budget is in triple-A shape and in the complete opposite of an emergency.

If there were a budget emergency, Treasurer Joe Hockey and the Government would have acted with the same speed on spending and revenue measures as they have shown over abolishing the carbon price and implementing their boats policy."

So the budget emergency was a "Clayton's" emergency - the emergency you have when you don't have and emergency - (although you do have an election to win and gullible voters to suck in)

So all the intended sell-offs are merely a product of ideology, not necessity.