Latest news with #WaterCommission
The Guardian
5 days ago
- Business
- The Guardian
Water firms should serve the common good
The Water Commission's failure to consider renationalisation as an option for the industry does not necessarily mean that we'll 'watch the industry continue to sink under the failed model of privatisation', as the Green party's co-leader, Adrian Ramsay, has suggested ('Less reorganising, more doing': landmark report alone won't fix broken water sector, 21 July). But, as you say in your editorial (21 July), it will mean that 'making water companies value the public interest more highly, relative to private profit, will be an ongoing struggle'. There is a way, however, of ensuring that the public interest wins this struggle. Change the laws on corporate governance. Legally require water and other private companies to operate in the interests of the common good, and develop a regulatory system to ensure that this happens. This would make it easier to prosecute CEOs and other senior executives, should they fail to run their companies in the interests of the British people. In legislating this way, the government could take its lead from the German constitution, article 14, clause 2 of which states: 'Property entails obligations. Its use shall also serve the public good.' In so doing, the government could take note of the fact that this is a legal cornerstone of Germany's social market version of capitalism – one that for a long time has surpassed Britain's in terms of its higher levels of prosperity, with far lower levels of HendersonLeeds I could accept a privatised water industry if I had a choice of provider. As a Severn Trent customer, the only way to change my water supplier is to move house. There is no incentive for Severn Trent to offer me the best service it can, as there is no penalty for not doing so. Pious statements about regulation are easily addressed by looking at the regulatory bonfire that occurs every time we elect a Tory government. I've been a Labour voter for 40-plus years, and was incensed enough to think about changing my vote over the benefit changes disaster, but now have a positive reason to consider a vote for the Green party – an unambiguous commitment to nationalisation. This is the only way of getting an accountable BowdenBirmingham Have an opinion on anything you've read in the Guardian today? Please email us your letter and it will be considered for publication in our letters section.
BBC News
21-07-2025
- Politics
- BBC News
Final report into 'broken' water industry in England and Wales to be released
Update: Date: 04:52 BST Title: Key timings to be across this morning Content: We'll be hearing from Environment Secretary Steve Reed this morning It's not long now until the report into the water system is released. Here's how we're expecting the key moments this morning to play out: Update: Date: 04:48 BST Title: Join us as we dive into major review of 'broken' water industry Content: Mark PoyntingClimate reporter Last October, the government set up the independent Water Commission, led by former Bank of England deputy governor Sir Jon Cunliffe, to conduct a major review into the water industry in England and Wales. Today, we're getting the final report. It was sparked by growing public concern about sewage spills and rising bills, as well as decades of underinvestment in the sector, with climate change and population growth straining it further. Environment Secretary Steve Reed, who has described the water industry as "broken", said that this is the biggest review of the industry since 1989 – when it was privatised. This is 'our opportunity to clean up our water once and for all", he said. But the commission won't consider the idea of nationalising private water companies, Reed said, arguing that it would be too expensive and wouldn't necessarily lead to improvements. So, today's report will only give recommendations. It will ultimately be up to the government to decide what changes it wants to make. The report is due to be released in about an hour's time - we'll be diving into it and bringing you the key findings along with expert analysis throughout the morning, so stay with us.
Telegraph
20-07-2025
- Business
- Telegraph
There must be a way forward for our water industry
On one thing everyone is agreed: the water industry is in a mess. The finances are shot to pieces, charges to consumers have risen rapidly and the record on pollution is a disgrace. A review to be published today will try to chart a way forward for the country's water companies though without any great expectations that it will bring about the fundamental reforms that are needed. The political parties are unable to agree about what should happen next. With businesses like Thames Water heavily in debt, is renationalisation the answer? Labour ministers, who are not normally shy about praising state ownership, are not keen since the costs would be enormous, probably around £100 billion. Moreover, since the industry struggled to raise money for investment when it was run by the state, why would reverting to the days before privatisation make any difference? The Water Commission chaired by Sir Jon Cunliffe, former deputy governor of the Bank of England, was specifically told not to consider renationalisation as an option in its review. Nonetheless, it has been looking at alternative models such as mixed public-private arrangements. The Government would retain a golden share and control while the private sector would still be expected to drum up the investment rather than the taxpayer. Nigel Farage, the leader of Reform UK, says this is an approach he would favour if in office and it may be something the review recommends. On the other hand, in his preliminary findings Sir Jon said it was by means clear that any particular model equated to better outcomes. 'The Commission's Call for Evidence set out preliminary analysis that suggested no clear, consistent causal link between ownership models and water company performance on a range of metrics and called, specifically, for more evidence on this issue'. There is one thing that unites everyone and that is the uselessness of Ofwat as a regulator and the need to replace it with something that works. On its watch the industry has come close to bankruptcy and vast sums have been paid out in dividends while pollution of rivers, lakes and seas has risen dramatically. Serious incidents have risen 60 per cent in a year, according to the Environment Agency. Will today's review usher in the fundamental changes that are needed or merely see the mess continue? It would help if the politicians could agree on a way forward for dealing with our most precious commodity.
The Independent
19-07-2025
- Business
- The Independent
Government unveils bold plan to clean our polluted rivers
Environment Secretary Steve Reed is set to pledge a halving of sewage pollution from water companies by 2030, aiming for Britain's cleanest rivers on record. The plan includes a £104bn investment to rebuild crumbling sewage pipes, introduce strict new rules, and overhaul the regulation of water companies. This commitment precedes the publication of the Independent Water Commission's landmark review into the water sector, expected on Monday. The pledge addresses public outrage over record sewage spills and rising bills, with serious pollution incidents by water firms increasing by 60 per cent in 2024. Further measures include banning bonuses for water company executives, increasing funding for the Environment Agency, and working towards a ban on plastic-containing wet wipes.
The Independent
19-07-2025
- Business
- The Independent
Labour vows to make Britain's rivers cleanest on record by halving sewage pollution
Labour will leave Britain with the cleanest rivers on record by cutting sewage pollution from water firms in half by 2030, the environment secretary will say. Steve Reed will promise on Sunday to make the UK's rivers the cleanest since records began with a £104bn investment to rebuild the country's crumbling sewage pipes. Mr Reed will also roll out a set of strict new rules to slash pollution and a 'root and branch' overhaul of the way water companies are regulated. With a landmark report into the industry being published on Monday, the environment secretary is to promise families across the country cleaner beaches and healthier rivers. It will mark the first time ministers have set a clear target for reducing sewage pollution against which they can be judged at the next election. The package is also aimed at reducing phosphorus from treated wastewater by half by 2028 – the pollutant causes algae blooms, which are harmful to wildlife. The pledge comes as the government faces public disgust over record sewage spills and rising bills, while tasked with turning around the poor governance of debt-ridden water firms. Mr Reed said: 'Families have watched their local rivers, coastlines and lakes suffer from record levels of pollution. 'My pledge to you: the government will halve sewage pollution from water companies by the end of the decade.' It comes ahead of Monday morning's publication of the Independent Water Commission's landmark review into the ailing water sector. The commission was set up by the UK and Welsh governments as part of their response to systemic failures in the industry, although ministers have ruled out nationalising companies. The government will respond to the recommendations in parliament on Monday. On Friday, the Environment Agency revealed that serious pollution incidents caused by water firms across England increased by 60 per cent last year, compared with 2023. The watchdog said companies recorded a total of 2,801 pollution incidents in 2024, up from 2,174 in 2023. Of these, 75 were categorised as posing 'serious or persistent' harm to wildlife and human health, up from 47 last year. Ministers have vowed a 'root and branch reform' to the industry and have introduced a package of measures over the last year to cut pollution levels. They have banned bonuses for 10 bosses this year and threatened prison sentences for law-breaking executives. The government has also hailed plans for £104bn of investment into upgrading crumbling pipes and building new treatment works, as well as ringfencing consumer bills for upgrades instead of companies using money for shareholder payouts of executive bonuses. Meanwhile, the Environment Agency has received a record £189m to support hundreds of enforcement officers for inspections and prosecutions, with fines from companies footing the increase in funding. Ministers hope this will help to reach the newly announced targets on sewage pollution, which can cause harm to swimmers, loss of aquatic life, and the destruction of ecosystems. 'One of the largest infrastructure projects in England's history will clean up our rivers, lakes and seas for good,' Mr Reed said. The new pledge also includes working with devolved governments to ban wet wipes containing plastic across the UK, continued work on pre-pipe measures, such as sustainable drainage systems, and the start of trials by water companies of nature-based solutions, such as constructed wetlands. It comes alongside the storm overflow discharge reduction plan, which has set targets on reducing spills, including a 75 per cent reduction in discharging into high-priority sites, such as rare chalk streams, by 2035. There is an already existing statutory target to reduce phosphorus loadings from treated wastewater by 80 per cent by 2038 against a 2020 baseline, as well as an interim goal of a 50 per cent reduction by the end of January 2028 under the environmental improvement plan.
