Focusing on Thames Water's particular example, if we assume malice as the cause, what would be the potential consequences? While the government could impose fines, the possibility of non-payment exists and what would happen in that case? Instead of debt collectors taking action, like ripping pipes from the ground or causing pension fund collapse, the government would act as a last resort investor, potentially providing further funding for a few additional years before the situation likely repeats.
In theory, with privatization the gov’t can arrest people or the like. The gov’t very rarely does that to itself.
Politicians can be swapped out of course, but most smart ones setup scape goats and a lot of levels of abstraction so they can claim successes and point the finger elsewhere if it goes wrong.
It seems like the voters actively encouraged this kind of behavior.
Eventually people figure it out (maybe) and go all fire and pitchforks - but that sounds like a problem for ‘future me’ eh?
And if you’re good at structuring everything, maybe they’ll never even have anyone concrete to blame but themselves! (Classic referendum/politician behavior there)