If you wish to speculate generally, or complain to MP or whatever, that's your right.
But in terms of actually getting passport in a reasonable period of time, best solution is to actually ask people first. Take the form with you and show them - there is not much that's required.
And important that even though the form calls it a 'guarantor', show them the text. All they are 'guaranteeing' is that they have known the applicant for more than two years, and that to the best of their knowledge, the rest of the information is true and the photo is you. They are not taking on any responsibility other than to not lie when signing the form.
This is a totally routine thing and most people are relaxed about it. Yes, they share their passport number - with you and the government department that issued it.