Part of the problem is that a large number of policymakers, politicians, journalists, and sadly, as a result of all this, members of the public, have swallowed the idea that the public sector is inferior to the private sector at best, totally unnecessary at worst. There has always been a bit of this, especially perhaps as regards education where Private is often automatically seen as Better, but it's become much worse in recent years.
What is needed is people prepared to support the public sector robustly; to take the attitude that the provision of public services is a Good Thing, and that if there are problem with public services, they should be corrected and improved, not de-funded or privatized.
Even in the Labour Party, at least the New part of it, there is a tendency to be somewhat ashamed of the public sector, and to treat it as a weakness, rather than one of our country's great strengths. (And of course such an attitude inevitably means that the public sector will not work as well, thus leading to a self-fulfilling prophecy). New Labour too often act as though the public sector is a necessary evil, while the Tories act as though it were an unnecessary evil.
Personally, even if I had no ideological leanings in that direction, my experiences have convinced me that private organizations, e.g. banks and businesses, are often more confused, inefficient, and generally of worse value than even indifferent public services. I am the proud denizen of one of the worst county councils in the country IMO; nevertheless, the well-reputed firms that I've dealt with have generally been no better than county services, and the average ones have generally been worse.
Which leads back into another of the current problems. There is a popular attitude, both in the public and the private sectors, that the problem with most organizations is 'overmanning'; that there are loads of people being paid just to sit on their bums and drink tea; and that reducing staff as much as possible will make services more 'efficient'. Maybe overmanning was a problem in some areas in the past; I don't know. But nowadays it's just the opposite. Most organizations are understaffed, which may cut immediate costs, but makes them much LESS efficient for the consumer- and no, computers can never quite compensate