ABSTRACT
In terms of the value of state assets sold the UK still leads the rest of Europe, but in recent years privatisation activity has intensified in the other member states of the EU. Interest in privatisation has been stimulated by the UK example, by technological change and by the European Single Market programme, which is concerned with removing non-tariff barriers to trade in the EU. Amongst other things, the Single Market programme has led to policies designed to open up state monopolies to competition, notably in telecommunications, energy, transport, posts, public procurement and financial services. More recently, the trend towards privatisation in the EU has been reinforced by the Maastricht Treaty ceilings on government debt and deficits in the runup to European Monetary Union. The sale of state industries offers one means of reducing the level of outstanding debt.
