logo
Campaigners and industry respond to ‘once-in-a-generation' water reform report

Campaigners and industry respond to ‘once-in-a-generation' water reform report

Glasgow Times2 days ago
Mike Keil, chief executive of the Consumer Council for Water (CCW), said public trust in water companies had been 'drained' by poor environmental performance and wider service failures.
The much-anticipated final report from the Independent Water Commission, led by former Bank of England deputy governor Sir Jon Cunliffe, outlined 88 recommendations to the UK and Welsh governments to turn around the ailing industry.
Mr Keil said: 'The commission has set out significant changes to the regulatory system.
'But water companies have always had the freedom to do what's right by their customers – and many have made bad choices.'
Mr Keil said affordability must be a key focus of reform, with households already struggling following this year's sharp rise in water bills.
'More people are turning to CCW to complain about not being able to afford their bill,' he said.
'Over two in five households have told us they've cut spending on essentials like food to make ends meet.
'The case for a single social tariff for water has never been more urgent.'
He welcomed recommendations to make the existing voluntary ombudsman scheme mandatory, saying: 'We're delighted the commission has recommended building on our work at a time when we're seeing more people turn to us for help.'
But River Action chief executive James Wallace accused the commission of falling short, saying it had 'blinked' when faced with a chance to break with the past.
Low water levels at Yorkshire Water's Agden Reservoir, near Sheffield (Dave Higgens/PA)
'This was a once-in-a-generation opportunity to reset a broken and corrupted system,' he said.
'Instead, we've been handed vague policy nudges that leave the current failed privatised water company model intact.'
Mr Wallace said nothing less than 'a credible plan to rescue Britain's rivers, lakes and seas' was needed, including a clear path to bring 'failing companies like Thames Water into public control'.
He called on the Government to put Thames Water into special administration as a 'powerful statement of intent', warning: 'Our water is our life-blood and not for sale.'
Water UK, the trade body for the water companies, welcomed the commission's findings, calling reform 'long overdue'.
A spokesperson said: 'Everyone agrees the system has not been working.
'These recommendations should establish the foundations to secure our water supplies, support economic growth and end sewage entering our rivers and seas.'
Golfers play on watered greens in Warwick as the West Midlands officially entered a drought (Jacob King/PA)
Richard Benwell, a member of the Independent Water Commission's expert advisory group and chief executive of Wildlife and Countryside Link, said a 'culture of rule-breaking and non-compliance' was harming rivers and wetlands, and called for a more powerful and independent environmental regulator.
He welcomed the proposal for new regional water authorities but warned reforms would fall short without proper funding and a clear steer from Government.
'Reforming regulators without fixing resourcing and remit would be painting over cracks,' he said.
Ali Morse, water policy manager at The Wildlife Trusts, said the report offered 'strong recommendations' for more integrated, regionally driven planning, but warned time was running out to act.
'The commission has set the framework – now the Government must act with purpose,' she said.
Gary Carter, national officer at the GMB union, said the report confirmed what the union had argued for years – that water privatisation had been a 'disastrous failure'.
He accused company bosses of profiting while the water infrastructure 'crumbles through lack of investment' and sewage pollutes rivers.
'It's a disgrace – and one Ofwat has overseen,' he said.
'Now is the time to fundamentally reform the water sector and renationalise this vital resource.'
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Claim tourism tax will damage Monmouthshire's economy
Claim tourism tax will damage Monmouthshire's economy

South Wales Argus

time3 hours ago

  • South Wales Argus

Claim tourism tax will damage Monmouthshire's economy

The possibility of using new powers to tax overnight stays as soon as they become available was ruled out at Monmouthshire County Council's July meeting. Councillor Sara Burch, the council's cabinet member responsible for tourism, said it would hold talks with tourism operators before considering whether to introduce a charge and said: 'We've no intention of even getting to the point of consulting on a visitor levy within this administration.' The next council elections are due to take place in 2027 while the Welsh Government has said the earliest any local authority could introduce the tax, which it calls a visitor levy, is 2027. The Senedd, in July, approved legislation that will allow Wales' 22 unitary authorities to introduce a £1.30 per visitor, per night charge on overnight stays. It will be up to individual authorities if they wish to use the powers that also include a 75 pence per person, per night charge for hostels and campsites. An exception for under 18s would only apply at hostels and campsites. If every council in Wales introduced the charge it's estimated it could raise as much as £33m a year to invest in services and infrastructure to support tourism. While councils including Cardiff and Gwynedd have shown an interest in the charge it has been ruled out by Newport council, at the beginning of this yea, and Blaenau Gwent councillors say they believe it could have a negative economic impact. Figures produced for Monmouthshire council estimated in 2023 there were 2.29 million visitors, spending 3.53m visitor days in the county, generating more than £329m for the local economy, and supporting 3,462 full time equivalent jobs. The council was asked by its Conservative opposition group to commit to ruling out introducing the charge in June 2023, but at that time the ruling Labour group said it was too soon to make a decision on legislation that had yet to pass through the Senedd. At July's full council meeting Tory leader Richard John asked if the cabinet had given further consideration to his group's proposal the council 'should rule out introducing a tourism tax in Monmouthshire?' Cllr Burch said she assumed Cllr John was 'referring to the visitor levy' – to which he replied 'I am' – and she said: 'Our position remains unchanged we've no immediate plans to introduce a visitor levy.' The Abergavenny Cantref councillor said the council is working with tourism providers on destination management plans and to 'understand the advantages and how money raised could go to improving our offer to visitors'. She also said she welcomed the legislation as it also introduces a compulsory register of visitor accommodation. The destination management plans could go the council's scrutiny committees and cabinet in the autumn and Cllr Burch said: 'From there we hope to strengthen the Monmouthshire tourism partnership and discuss how any discussions may further take place but we've no intention of even getting to the point of consulting on a visitor levy within this administration.' Cllr Burch was prompted by council leader Mary Ann Brocklesby to say there were 'no plans on consulting' during the council term when responding to Cllr John. The Mitchell Troy and Trellech councillor said the response was 'disappointing to hear' and said 'the downsides of a tourism tax are really quite evident particularly in a boarder county like Monmouthshire.' He said families wanting to holiday in the Wye Valley will have a choice between staying in Gloucestershire or 'coming to Monmouthshire where a tourism tax will add an additional £40 for a week's holiday for a family of four. It could do enormous damage and as a council we should rule it out.' Cllr Burch said she considered the downsides and possible advantages to be 'evident' and said they would benefit from further discussion.

Afonydd Cymru welcomes report into Welsh river pollution
Afonydd Cymru welcomes report into Welsh river pollution

South Wales Argus

time3 hours ago

  • South Wales Argus

Afonydd Cymru welcomes report into Welsh river pollution

The Independent Water Commission's review, led by Sir John Cunliffe, was recently released, addressing failures in the water sector across England and Wales and aiming to restore public trust. The report acknowledges the unique legislative and policy needs of Wales, as water management is a devolved issue. Afonydd Cymru, a representative body for Welsh rivers, has welcomed the report's recognition of these differences, as the recommendations will now be considered by the Welsh Government rather than Westminster. The report calls for more strategic direction from the Welsh Government across the whole water sector, not just the water industry. It points out that pollution from all sectors, especially agriculture in Wales, needs to be resolved to restore rivers. The report challenges favourable comparisons between Wales and England regarding the state of rivers, stating that claims of 43 per cent of Wales's water bodies being in 'Good Ecological Status' and 90 per cent in 'Good Chemical Status' may not be accurate. This discrepancy is attributed to less stringent assessments by Natural Resources Wales compared to the Environment Agency in England, according to Afonydd Cymru. The report recommends tighter regulation of sewage sludge spreading on farmland, a move welcomed by Afonydd Cymru. The sludge contains nutrients, toxic chemicals, and heavy metals, which can end up in rivers. This change aligns with calls for regulating the spreading of digestate in Wales. One major recommendation is the creation of a new economic regulator for water, a move already initiated by the Westminster Government with the announcement of Ofwat's abolition. In Wales, the Deputy First Minister has also stated that there will be a new economic regulator for water, although further details are yet to be announced. However, the report was criticised for its lack of a clear plan for cross-border rivers, recommending their management be split along borders. Afonydd Cymru argues that rivers like the Severn, Dee, and Wye would be better managed on a catchment basis. The Welsh Government has stated it will take time to consider the full 465 pages and 88 recommendations of the report, which marks the most significant review of water management in 35 years.

Water industry may be added to list of sensitive business sectors, says minister
Water industry may be added to list of sensitive business sectors, says minister

Rhyl Journal

time3 hours ago

  • Rhyl Journal

Water industry may be added to list of sensitive business sectors, says minister

It comes amid an overhaul of regulation for the troubled sector and as firms including Thames Water and Southern Water face financial woes. Communications, energy and data infrastructure are among the 17 sectors that must notify the investment security unit of certain business deals since the list was created in 2021. Chancellor of the Duchy of Lancaster Pat McFadden has asked for businesses' views on extending this requirement to the water sector. It is not expected to affect large numbers of deals but reflects 'increasing risks to the sector's resilience in a growing threat landscape', the Cabinet Office said. 'Data shows our investment security powers are working well, but there's more we can do to ensure our tool kit keeps pace with the modern economy,' Mr McFadden said. 'We're taking action to hone the type of transactions facing the greatest scrutiny, as well as consulting on updates to the sectors of the economy specified in the legislation.' Thames Water is battling to secure funding to shore up its creaking finances and stave off temporary nationalisation by the Government. Southern Water asked its owner, Australian investment firm Macquarie, for an extra £2.1 billion earlier this month to help boost its struggling finances. Making semiconductors and critical minerals into their own standalone categories and moving computing hardware to fall under semiconductors is also being proposed. Mr McFadden also said he planned to remove some requirements that are 'very unlikely to present risk'. Businesses will no longer need to notify the unit of certain internal reorganisations or when appointing liquidators, special administrators and official receivers. Secondary legislation would be brought to Parliament to put these changes in place.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store