Difference between Public and Private Sector

Difference between Public and Private Sector- for GCSE Citizenship- by http://www.tes.co.uk/teaching-resource/Public-and-Private-Sector-6197407/

1. Title : Government and public services. Aim : We will think about whether or not Government is the best organisation to p rovide public services. Key Words Public Service = A service provided by government o r local government. Private service provider = A private service provided b y private business. Example rail transport is now p rivately run.

2. What are Public Services? Public Services are organisations that are directly run by the National or Local Government. An example of a Public Service include Schools, Hospitals, local parks etc. The Public Sector as it is also known as is used to provide services to the public. There are some public services that are now private including Rail travel.

3. Advantage of Public Services Advantages: The public controlled the service and therefore the profit margins are kept low The costs of using Public Services are covered from the Taxpayer therefore cannot go too much into debt They are directly controlled by the Government and therefore cannot be used inappropriately. All the essential services will be free and wont charge the public to use them Examples include: Schools, Hospitals

4. Disadvantages of Public Service All the money that is used comes from the Taxpayer therefore would not be getting best value for money There is less competition for the Private Sector therefore not allowing private sector growth Some Organisations are very expensive to run and could cause a lot of money being used from taxpayers

5. Here are a list of public services.... Can you divide them into either Central Government o r Local Government Control? The armed forces Recycling Justice Service Provision Of parks Or open spaces. Housing Social Service NHS Prison Service Local Library Police

6. What are Private Services? The private sector consists of business activity that is owned and run by private individuals. These businesses can be small firms owned by just one person, or large multi-national businesses that operate around the world (globally). In the case of large businesses, there might be many thousands of owners involved. The goal of businesses in the private sector is to make a profit .

7. Advantages of Private Sector Private services are owned by Private companies and therefore are seen to be cheaper to run Private sector have more control in terms of wages and costing of the service They can use their companies to invest for the future to improve sustainability

8. Disadvantages of Public Services If the company does not make money than it might have to backed by the Public Taxpayer Example of Private Sector not working include the recent case of the Northern Rock bank when the company went into too much debt and therefore was backed by the Government to make sure people were still able to use the bank Prices can be increased for services according to the company

9. In the U.K many public services are provided by government and local Government. We are known as a social democracy because the state ( government ) look after a lot of things for us. People pay for public s ervices by paying high direct and indirect tax. In the U.S.A , many public services are provided by private companies w ho charge people directly for services or charge the government for services. In the U.S.A government taxes are lower but people have to p ay the service providers or pay into insurance policies to make sure t hey can afford services. The U.S.A relies on private provision of services i t is more of a capitalist democracy than Britain. The U.S.A still controls its own armed services.

10. Everyone receives equal treatment. People receive a service b ased on their needs n ot rather than their Ability to pay. Elected politicians can Maintain control of public services. They can e held a ccountable. Rates of pay and w orking conditions are same across t he country. Service does not have t o make private share holders profit and business owners People can choose the s ervice they want. People have pay for Own services so they a re more responsible. Competition between businesses d rives up standards, brings in n ew ideas and can lowers costs. Companies lose business if s ervice is poor. This encourages Them to provide good services. Elected politicians can Spend time checking on How services are doing Rather than running them.