That is part of the process. Under fund the public services and let private companies replace the easily replaceable (read commercially viable parts) and then point at the public ones and say:

1. They are inefficient compared to the private companies.
2. Their efficacy is dwindling and "reform" is needed.

This is at least the playbook they have followed in my country to ruin postal and railroad services, and they are in the process of ruining healthcare as well. To give concrete examples the public postal service needs to be able to deliver mail and packages anywhere in the country while the private ones can target the population centers only. Similarly privatized health care clinics can offer doctors of particular specializations higher pay and less work so that the public hospitals have shortage of such specialized doctors and need to "buy" treatments from the private wards for extortionate sums. The latter example is again used to say that the private are more efficient since it can make a surplus budget, ignoring the whole dynamic in play and that they are actually less efficient and abusing the public system for profit.