Water Companies: Regulation and Financial Stability

Emma Hardy Excerpts
Wednesday 23rd October 2024

(2 months, 3 weeks ago)

Westminster Hall
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Emma Hardy Portrait The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Emma Hardy)
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It is a pleasure to serve under your chairmanship, Mr Pritchard. I thank the hon. Member for Westmorland and Lonsdale (Tim Farron) for securing this debate. I will make sure he has time to sum up at the end.

In response to the shadow Minister, I think the Government’s record speaks for itself. Although he might wish to rewrite history, he cannot actually change history. If people want to see what his Government achieved, they just need to look at a storm overflow pipe or perhaps the level of pollution in every river, lake and sea. The public outrage and outcry over this issue is felt by everybody. It is certainly felt by this Government.

The level of pollution in our iconic lakes such as Windermere and in our beautiful chalk streams—we have had debates on this before—is outrageous. It is right that that has become more of an issue as time has gone on. That is a positive thing. We need to value our nature to a far higher level than we ever did before, and change is needed. Indeed, we were elected on a mandate to bring about that change. I am pleased that climate change was mentioned in the debate as well. Our problems will only increase because of our changing climate. Everywhere will perhaps not be quite as wet as the constituency of the hon. Member for Westmorland and Lonsdale, but places will certainly be getting to those kinds of levels.

I pay tribute to all the campaign groups and organisations that have come to meet me since I became the Minister with this responsibility. Those people are incredibly passionate and dedicated, often citizen scientists giving their spare time to work on this issue, because they passionately believe in it.

I must mention the wonderful speech of my hon. Friend the Member for Easington (Grahame Morris), the quietly spoken radical. I welcome his support for the Water (Special Measures) Bill. Never let his quiet ways lead to underestimating the secret radicalness within him. I hope that he will contribute to the water review and the consultation. We will welcome his expertise.

I pay tribute to a fantastic new Member, my hon. Friend the Member for York Outer (Mr Charters), who is a brilliant local champion. I value his contribution and I share his outrage at the levels of sewage he has seen in his constituency. I agree with the very good point he made: when we look at the consultation, we should look at other regulatory systems to see what works well and at what lessons can be learned, so that we create a system that is effective for the future. I hope that that is something that he, too, feeds into the consultation.

The Water (Special Measures) Bill has been mentioned a number of times. Before it comes to this House, I will organise drop-in sessions for Members of Parliament, who are welcome to talk to me about possible amendments and things that they would like to see in the Bill. I am happy to discuss that. I will of course make time for all the Front-Bench spokespeople to talk to me about it, too.

I have to say, however, that I was rather surprised to hear criticism by Members of Parliament of the idea of inclusion, of consultation with our commission. This Government believe in doing things with people and not to people. I will go so far as to say that the Government are not arrogant enough to believe themselves to have all the answers and expertise, especially with so many experts out there. The Government want to reset our water industry for decades to come and—this is in my DNA and is stated on the back of my Labour party membership card—we believe

“that by the strength of our common endeavour we achieve more than we achieve alone”.

This is my philosophy of working with other people—looking at systems of co-production, at how we can create consensus, and at bringing together different ideas and expertise. I was therefore a bit surprised to hear that the idea of consultation and including others should be ignored. In fact, the previous Government had many examples of being arrogant enough to presume that they knew all the answers. Indeed, that Government created systems and policies that have been found to be utterly failing, because they did not listen to what the general public or campaigners were saying.

There is little point to different Members of Parliament talking about how they value the contribution of campaigners and organisations—how welcome those are and how well they have worked with them—when they also say that the ideas and expertise of those campaigners and other people should not contribute to Government policy. Deeds, not words—if we value people’s expertise and contribution, we must let them work with us to shape legislation for the future.

This commission will work with those experts, will value their contributions and listen to them, and will shape something that is fit for the future. It will conclude in June and, after a couple of months of looking at the consultation and Government response, further legislation will be brought forward. Some things will need primary legislation to change, as the shadow Minister, the hon. Member for Keighley and Ilkley (Robbie Moore), understands, but some things can be done more quickly. That very much depends on the recommendations. If primary legislation is required, obviously such things will take longer.

An important point to make is that the Government want to do things in a different and inclusive way. I reach out to each and every one of the people in this Chamber to say: “We want to do this with you.” Yes, there will be different points of view across the Chamber and there will be different ideas about what the right answer is, but let us act collectively on this, not just as Members of Parliament across the House, but as campaigners, organisations and members of all groups, even my mum’s wild swimming group—I am sure they have many an opinion on what the right policy should be. Let us come together to create something meaningful that will command cross-party support and make a difference. That is what we want from this consultation. I will be honest: I am a bit disappointed that people think consulting and working with others is a bad idea.

While I am having a slight moan about things that are slightly disappointing, there seems to be a confused message coming from the Chamber. Members have highlighted that some of the drought plans for water companies are rather, shall we say, extreme, as they involve shipping water over from other countries to deal with droughts, but they also criticised building reservoirs. They cannot do both. If we are going to plan for droughts, we need to talk about building reservoirs and ensure we have the infrastructure we need for the future.

What have the Government been doing? In week one, we got all the CEOs together in a room and talked to them about how we fix the industry. From that meeting, we secured a change to the articles of association, ringfenced funding for vital infrastructure, and new customer panels, and strengthened the protection and compensation for householders. In the week after the summer recess, we introduced the Water (Special Measures) Bill, so in our first 100 days we have hardly been resting on our laurels.

A lot has been said about the independent commission. It is really important that it is independent, and I am pleased that my hon. Friend the Member for York Outer paid tribute to Sir Jon Cunliffe, whose expertise and financial record are second to none, so is somebody we can work with collectively to produce something really effective.

Robbie Moore Portrait Robbie Moore
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On the commission, would the Minister be kind enough to outline to the House the timings? The PR24 process, which Ofwat is looking at, comes into effect next year and will be in place until 2029-30. Will any positive recommendations from the commission take effect within that price review period?

Emma Hardy Portrait Emma Hardy
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The shadow Minister is pointing out the way we plan and look at our five-year cycle. Whether that is the best way of doing things is a whole other question. The answer is the one I gave earlier: it very much depends on whether things need primary legislation. Some things that change the regulator will not affect the price review framework. The price review framework is based on the amount of money that people will invest in infrastructure, and changes needed for the next five years. That does not mean that things relating to regulation and the rules cannot be changed. I am sure he understands that.

I reiterate the Government’s commitment to driving meaningful, long-term improvements in the performance and culture of the water industry. We want to deliver on our ambition to clean up our rivers, lakes and seas, and the actions I have outlined today are only the beginning. I am passionate about this issue, and am very pleased to be leading on it. In fact, I asked to become the Minister for it, and we do not always get what we ask for in politics. I reiterate my invitation to work with each and every Member here. I think consultation and collaboration are good things, and I hope all hon. Members will embrace that. I look forward to working with them to achieve the goal that we all share: cleaner rivers, lakes and seas.

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Emma Hardy Portrait Emma Hardy
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rose

Tim Farron Portrait Tim Farron
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If the Minister wants to say, “Yes”, she will meet me, I will be delighted to give way to her.

Emma Hardy Portrait Emma Hardy
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In the spirit of collaboration, which I have just spoken so much about, of course I will meet the hon. Member.

Tim Farron Portrait Tim Farron
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Mr Pritchard, she’s a good ‘un. I thank the Minister very much indeed; I appreciate that.

Finally, I thank everyone who has contributed to the debate, but I also thank you, Mr Pritchard. That might sound a bit smarmy, but you and I go back a long way. I wish that when I first started here I had a Chair of Westminster Hall debates who talked us through the process as well as you have today. I am very grateful to you, and indeed to everybody else who has been here for this debate.

Flooding: Bedfordshire

Emma Hardy Excerpts
Wednesday 16th October 2024

(2 months, 4 weeks ago)

Commons Chamber
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Emma Hardy Portrait The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Emma Hardy)
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Thank you, Madam Deputy Speaker, and it is a pleasure to see you in the Chair. I thank the hon. Member for Mid Bedfordshire (Blake Stephenson) for securing the debate on this important matter, and everyone who has contributed to the discussion.

I start by sincerely expressing my sympathy with all the individuals whose homes and businesses have been impacted by flooding. I may have previously shared with the House the impact on me when, in 2007, the city that I represent was flooded. It is a story for another day, but I was teaching at the time, and when the floodwater came in we had to evacuate. Flooding has a devastating impact on people for a long time afterwards, including on their mental health, so I am very sympathetic to the hon. Gentleman as a victim of flooding himself. I realise it is not easy at all.

As the hon. Gentleman mentioned, more than 1,000 properties were flooded following recent heavy rain across central and southern England. The effects were felt particularly in communities in Bedfordshire, Northamptonshire, Oxfordshire, Shropshire, Buckinghamshire and north-west London, but more than 22,000 properties were protected by existing flood defences. As he said, I visited the Leighton Buzzard area in Bedfordshire on 26 September to meet volunteers and local residents and see at first hand the impact of the flooding there.

I know many people are now facing months of disruption and upset. I was particularly struck by one of the ladies I met, who was in tears when I went into her home. She showed me what had been her beautiful home, in which she had lived for over 20 years and on which she had spent a lot of time, and how it had just been ruined by the floodwater coming in, which she found absolutely devastating. The hon. Gentleman is right to point out how this impacts on vulnerable people. I heard stories of an elderly lady having to be rescued and taken away from her home. I absolutely pay tribute to Humberside fire and rescue service. Sorry, not just Humberside— I am so used to saying that—but all the fire and rescue services for their work in rescuing people.

I also thank the hon. Gentleman for joining the call that we had with the Environment Agency, which is something new that I have tried since becoming a Minister. It would simply be impossible for me to visit everywhere, so I want to find other ways to be as open and accessible as possible, which is why we tried this call. We had about 50 Members of Parliament on the call, and it was a way for hon. Members to get information directly from the Environment Agency, so I am grateful that he joined it.

John Hayes Portrait Sir John Hayes
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The Minister and I worked together when she was on this side of the House, so I know she is true to her word. My hon. Friend the Member for Mid Bedfordshire (Blake Stephenson)—very nobly, I thought—suggested that we ought to have a meeting about IDBs. This is a critically important issue for many parts of the country, and I am sure that a small delegation of colleagues could, in the spirit that the Minister has just described, have a very productive discussion. Would she agree to that?

Emma Hardy Portrait Emma Hardy
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The right hon. Gentleman is so difficult to say no to. How infuriating—I have experienced this before. Yes, we will. That will be fine. I will be attending the internal drainage board conference, so after I have met people there, I am happy to meet a delegation to talk about IDBs. I can already hear my private office saying, “You’ve agreed to another meeting, Minister”, and telling me off.

Tessa Munt Portrait Tessa Munt (Wells and Mendip Hills) (LD)
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I was part of the call to which the Minister referred on 30 September. I am an MP in Somerset, and we requested a meeting. We have the benefit of the Somerset Rivers Authority, which I believe is unique in the country. We need to wrestle with how we enable the Environment Agency, the internal drainage board, the council, the rivers authority, and every other agency to address the problem of flooding for people in Somerset as well. Will she please ensure that her officials make that meeting happen?

Emma Hardy Portrait Emma Hardy
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Absolutely. As the hon. Lady will be aware, the flooding happened during recess and we have been back just one week. It is all noted down, and if I make a promise I stick to it, so we will have that.

There was also innovation in the incident response from the Environment Agency—I found this quite interesting, but that is perhaps my inner geek coming out. It launched drone flights over the flooded area to assess and monitor where had been flooded, and looked for where there were blockages and fallen trees in some of the waterways. It was then able to send people out to remove them. I thought that was a clever way of covering as much area as possible, especially in large rural areas, to see where it needed to solve a problem.

I reiterate the Government’s thanks to the Environment Agency local responders and many others who worked tirelessly to help communities across the country deal with the local floods. I also pay tribute to our farmers, as this is the worst two years in a row of harvest that they have faced, and I realise the impact that that has had on the mental health of many of them. I accept the frustration around the farming flood recovery fund, and I am afraid I will have to give an equally frustrating answer, which is that until the Budget is announced, there is not much more I can say on that matter, although I realise that that will not offer people the reassurance they want at the moment.

Where I can offer reassurance is that I know the National Farmers Union was keen to consider how the formula is calculated when it comes to assessing where flood defences are built. At the moment is based on the number of properties protected. I want to look at that formula—I know that has been called for over a long time—to see whether it is still the formula that we need, and I have committed to doing that with the NFU.

I pay tribute to a few of the volunteer groups I met in Bedfordshire, including the Bedfordshire local emergency volunteers executive committee, and particularly a lady called June Tobin, and Graham Mountford, who were fantastic. It was brilliant to see how well the volunteer organisations are embedded in the emergency response by the Bedfordshire local resilience forum. I was also impressed by the work of AMYA and what it is doing to get young people involved in volunteering. Many young people were volunteering at Meadow Way community centre, especially two impressive young teenage girls who told me that they wanted to come and help in the community. They were there making tea and coffee for everybody, and I thought that they deserved a special mention in my speech. I am sure the hon. Member for Mid Bedfordshire also found many wonderful examples of people helping.

As has been mentioned, it is Flood Action Week—what a week to be talking about flooding. If you will indulge me for a moment, Madam Deputy Speaker, I wish to reiterate a few safety messages around Flood Action Week. We are urging the public to know and understand their flood risk, and to please sign up for flood alerts. If there is one thing each Member of Parliament can do it is encourage our constituents to sign up for flood alerts. If people have the time, that means they can get prepared. We would also like people to look at preparing a flood kit, and have medication and essentials if they are going to be away from home or asked to evacuate at short notice, as well as thinking about what will happen with pets. The Environment Agency has extensive guidance on what we can do to try to improve our flood resilience.

There was an event today, which I hope many Members were able to attend—the Environment Agency and Flood Re’s parliamentary drop-in. If people were unable to attend, I am sure they can email out the information for Members to communicate to constituents.

I reassure the hon. Member that flooding is one of DEFRA’s five key priorities. The honest truth is that we have inherited flood defences at their worst since 2010. The condition rating of key flood defences in England is at 92%. That is the lowest it has been in 14 years, which is clearly concerning as we go into another wet winter, as has been mentioned. Because of that, we have been moved £36 million extra to the urgent repair of some of those flood defences, and we also have mobile assets— have 275 mobile pumps and 25 km of mobile flood defences. By using knowledge around long-term forecasts, we want to get those mobile resources into the areas required, but the situation is definitely far from ideal. The previous Government’s flood investment programme was unfortunately behind schedule and over budget. I am urgently reviewing it to ensure we have a flood programme that is fit for purpose, and as has been mentioned, I have been looking at how the formula works.

The hon. Member mentioned one of my favourite words, which is SUDS, or sustainable urban drainage systems—only people with this level of geekery get excited about that—as well as schedule 3 of the Flood and Water Management Act 2010. I am pleased he pointed out that it dates from 2010 has still not been enacted. It is important that we look at sustainable urban drainage. As he mentioned, the Ministry of Housing, Communities and Local Government is doing a review of how the whole planning system works, and it will come as no surprise to him that I am pushing from the DEFRA end of things on how we can ensure that the homes we build are flood-proof now and in the future and, importantly, do not contribute or add to flood risk within an area. Those are two important issues.

The priority for the hon. Member is his constituency, but we must bear in mind that water is a tricky thing that does not obey constituency or national borders. Therefore, as has been pointed out, if we want to tackle flooding, sometimes the answer is literally further upstream. I enjoyed hearing him mention natural flood management solutions, which are another thing I get excited about. We have a nature crisis, so if we can deliver something that not only delivers protection from flooding but increases nature, is that not a wonderful thing to do? I am a huge fan. I do not think the answer to everything should always be more concrete, although at times of course we need those hard flood defences. It is important to look at a catchment-based approach to how we handle this, where we can look at slowing the flow in some areas or moving water out more quickly in others.

The hon. Member also mentioned the A421. I was stuck on that road as well. After visiting the flooded area in Leighton Buzzard, I realised I could not get a lift back to London, because Euston station was shut. I ended up trying to get a lift from someone up to Peterborough to make my way back up to Hull, and I was stuck on a diversion from the A421. I feel his pain as a fellow victim of that particular closed road.

The Environment Agency estimates that £3.5 million will be invested in Bedfordshire to increase flood resilience. As the hon. Member rightly said, for many areas surface water is the problem, so many of the schemes provided will be small-scale surface water solutions. [Interruption.] Am I getting the nod to hurry up? Okay, I will speed on. We can continue much of this discussion at a later date.

To conclude, I reiterate that this Government will act to ensure that people are better protected from flooding in the first place. We are determined to turbocharge the delivery and repair of flood defences, to improve drainage systems and to develop natural flood management solutions. We are investing more than £1.25 billion this year to scale up national resilience through building new and improving existing flood defences. The Government are reviewing the existing programme to get it back on track, after the pace slowed due to the impacts of inflation and delays in the supply chain.

The flood resilience taskforce, which we set up and which has already met, includes the Department for Environment, Food and Rural Affairs, the Ministry of Housing, Communities and Local Government, the Home Office, the Cabinet Office, the Environment Agency, the Met Office, local resilience forums, the mayoral office, emergency responders and the National Farmers Union. It will meet again in January. Emergency services, the EA, local authorities, voluntary organisations and Departments stand ready to support affected communities in any future flooding. Flooding is personal and a priority for me, and I will work tirelessly to make our communities more resilient to flooding.

Question put and agreed to.

Chalk Streams: Sewage Discharge

Emma Hardy Excerpts
Tuesday 8th October 2024

(3 months, 1 week ago)

Westminster Hall
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Westminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.

Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.

This information is provided by Parallel Parliament and does not comprise part of the offical record

Emma Hardy Portrait The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Emma Hardy)
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It is a pleasure to serve under your chairmanship, Mr Efford. I am grateful to be part of this debate, and I thank the hon. Member for Harpenden and Berkhamsted (Victoria Collins) for securing it. Is this the first debate that she has secured in the House?

Victoria Collins Portrait Victoria Collins
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It is my first Westminster Hall debate.

Emma Hardy Portrait Emma Hardy
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I am very pleased that one of the hon. Member’s first debates is on such an important issue. I do not want to get into a competition over who has the best chalk stream, but I must mention that the one near to where I live featured in “Mortimer & Whitehouse: Gone Fishing” the other day. They were at Driffield beck. We get not only to share stories here about who has the most beautiful chalk streams, but to see them on national television. I share the hon. Member’s love of them: they are England’s equivalent of the Great Barrier Reef. They are amazing things to have and to be able to say are held within our own country. They are so precious to us. They are the rarest freshwater habitat on earth, and in England we are home to 85% of them. That is a remarkable achievement.

The hon. Member is absolutely right to feel outraged and upset about the levels of river pollution. I am sure there are more enjoyable things that she would like to do on a Friday night than go and examine a sewage discharge into the water, but it is good that she was there and able to document it, because where we have evidence of illegal sewage discharges, of course we wish to prosecute.

Lee Dillon Portrait Mr Dillon
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The Minister mentioned in her opening remarks the fishing programme. I wonder whether she would support an 8-metre buffer zone around rivers to stop the run-off of topsoil into chalk streams, which stops wild brown trout, for example, from being able to spawn.

Emma Hardy Portrait Emma Hardy
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I will move on to talk a little bit about run-off and other issues involved. I join the hon. Member for Harpenden and Berkhamsted in praising her local community groups and organisations. One of the pleasures I have had since taking on this brief is meeting many committed environmentalists, environmental non-governmental organisations and people who care so much about the area. I liked the tale of people going picnicking by the edge of her chalk stream; I am tempted now to go and visit it when I am next on holiday. However, she is also right to point out that England’s chalk streams face pressure on their water quality, with pollution coming from different point sources—especially from sewage treatment works, as she discovered on that Friday evening—and diffuse sources such as phosphorus and road run-off mean that chalk streams suffer from higher levels of nutrients, sediment and toxic chemicals such as pesticides.

I will go on to explain some of the actions that the Government are taking with regard to addressing those concerns. However, as has been mentioned by the hon. Member for Newbury (Mr Dillon), it is not water quality alone that affects the chalk streams flowing in the constituency of the hon. Member for Harpenden and Berkhamsted, as they face pressures affecting the quantity and physical habitat quality too. On the quantity, we have seen excessive removal of water from its original source, which can lower the natural river flow of these streams.

Jess Brown-Fuller Portrait Jess Brown-Fuller (Chichester) (LD)
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In the Chichester constituency, we have two crucial chalk streams: the River Ems and the River Lavant. Portsmouth Water has been abstracting from the River Ems since the 1960s, which has moved the flow two kilometres downstream at the point of flow. Does the Minister agree that water companies that rely on our chalk streams to supplement their water supply need to come up with some sustainable water solutions to ensure our water supply for the future? [Interruption.]

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Clive Efford Portrait Clive Efford (in the Chair)
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Order. I think that the debate will finish at 4.46 pm.

Emma Hardy Portrait Emma Hardy
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I had just taken an intervention from the hon. Member for Chichester (Jess Brown-Fuller), who talked about the excessive removal of water and the situation that she finds herself in with the water company. I agree that we need to look for a long-term solution.

When we abstract too much water, that increases the concentration of pollutants and the water temperature, and decreases oxygen levels, leading to increased silt and loss of habitat. As the hon. Member for Henley and Thame (Freddie van Mierlo) mentioned, the physical habitat of our chalk streams has also been altered. They have been modified by people over recent decades, limiting the naturally varied habitats that plants and animals rely on and exacerbating the negative impacts of abstraction and pollution. Taken together, along with the sewage incidents, these pressures are placing our chalk streams under increasing strain and environmental stress.

In the constituency of the hon. Member for Harpenden and Berkhamsted, where chalk streams including the River Lea and River Ver flow, these pressures are no different. That is why this Government are continuing to ensure the conservation of chalk streams. Under the Government’s water industry national environment programme, improvements have been agreed for three waste water treatment works in the Harpenden and Berkhamsted constituency. They include stricter phosphorus limits for the discharge of fully treated sewage effluent and improved waste water flow monitoring to ensure that the required volumes of sewage receive full treatment before any storm overflow can occur. The capacity of the Berkhamsted waste water treatment works to fully treat sewage has also been increased from 247 litres to 316 litres per second, providing for a higher and larger quality of treated effluent.

The Environment Agency is investigating the cause of a prolonged storm discharge from the Markyate sewage treatment works into the River Ver. Unfortunately, as it is a live investigation, I cannot go into more detail now, but I greatly encourage the hon. Member for Harpenden and Berkhamsted to speak to the director of the Environment Agency about that and, of course, when the investigation is concluded, we can have a more detailed conversation about the issue and about what enforcement action can be taken.

I should also note that the Environment Agency has been working with Affinity Water and local partners to revitalise chalk rivers by leaving more water in the environment, addressing the issue of over-abstraction of our chalk rivers, and improving the physical habitat and water flow. Water abstractions across the catchment have been reduced by 33.3 megalitres per day, with a further reduction of 23.5 megalitres per day to be delivered by spring 2025. This is ongoing work in progress to address over-abstraction from chalk streams, which we rightly recognise is a concern.

Sarah Green Portrait Sarah Green
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The Minister is making the point, rightly, about individual projects that water companies such as Affinity Water have invested in. What is missing is a strategy across the country for all chalk streams. That is why I am calling on her, in her position as a Minister, to give chalk streams the designation and special status they need so that this is not treated in a piecemeal way.

Emma Hardy Portrait Emma Hardy
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I thank the hon. Lady for her intervention. I was addressing the specific chalk stream raised by the hon. Member for Harpenden and Berkhamsted. However, I completely agree with the wider point about having an overall strategy to deal with the problems faced by water.

There is also the Spring Clean for Colne project, covering the River Ver and River Bulbourne. This partnership project is identifying, logging and mapping the outfalls, channels and ditches that could be a source of pollution in the Colne catchment. By first identifying the sources of pollution, we can then work on providing the solutions.

On a broader scale, which I think is the question that the hon. Member for Chesham and Amersham (Sarah Green) wanted me to consider, the Government are continuing to take action to ensure the recovery and preservation of chalk streams. Earlier this year, the Department for Environment, Food and Rural Affairs launched its species survival fund, which aims to bolster conservation efforts across the country. Through this fund, 20 conservation projects will collectively receive a share of £25 million, with the goal of restoring 3,300 hectares of vital habitat for wildlife.

Notably, two of these projects will specifically benefit our chalk streams. These are the partnerships for nature in the north Wessex downs area of outstanding national beauty, which will restore over three kilometres of chalk stream habitat, and the riparian habitat improvements in Hertfordshire’s chalk rivers from the Herts and Middlesex Wildlife Trust, which will restore chalk river habitats across 11.15 kilometres of the River Lea catchment. We are also contributing £1 million to chalk river initiatives in 2024-25, collaborating with partners on 30 projects aimed at safeguarding these rare and irreplaceable habitats. That effort is crucial to our commitment to protect these habitats as part of the water resources chalk partnership fund.

Taken together, those points demonstrate that this Government are continuing to view chalk stream recovery as a key, important issue. Although money has previously been invested in their conservation, I am aware—very aware—that more work needs to be done and that recovery is not a quick fix.

Jess Brown-Fuller Portrait Jess Brown-Fuller
- Hansard - - - Excerpts

Southern Water, working with Portsmouth Water, is making plans to reduce chalk stream abstraction by introducing effluent recycling at the Havant Thicket reservoir. Does the Minister think that this scheme—turning effluent into drinking water—is a good idea?

Emma Hardy Portrait Emma Hardy
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I think, as with all schemes, it needs to be looked at and considered carefully. Nothing will be signed off if it presents any danger to the general public. As she knows, we have one of the highest levels of drinking water quality in the world. That is not changing under this watch. There is no way that we would allow drinking water that was not completely safe for everyone to use.

Danny Chambers Portrait Dr Danny Chambers (Winchester) (LD)
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Will the Minister give way?

Emma Hardy Portrait Emma Hardy
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Of course—I feel very popular this afternoon.

Danny Chambers Portrait Dr Chambers
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On the earlier point about nature restoration around chalk streams, in Winchester we have the River Itchen going right through the heart of the city. A lot of farming clusters around the edge are looking at protecting nature on the side of the chalk streams. One specific issue we have is flea and worm treatments that are used to treat parasites in cats and dogs. They are overprescribed—they are used within routine health plans, which is not really necessary—and they contain neonicotinoids which can contaminate the chalk streams and damage the ecosystems and the insects that live in them. Would the Minister look at how we can put pressure on the veterinary industry to allow vets to make clinical decisions on whether treatment is needed rather than customers having a blanket treatment every month, whether it is needed or not?

Clive Efford Portrait Clive Efford (in the Chair)
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Order. Interventions have to be short; this is a half-hour debate.

Emma Hardy Portrait Emma Hardy
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I will go on to talk about agriculture and some of those other issues.

To turn to sewage, which I know is on the minds of many people, we have undoubtedly inherited a deeply flawed system and one that is now discharging record levels of sewage into our lakes and streams, and into our chalk streams. This is a public health crisis, demanding our immediate and decisive action to rectify decades of neglect and mismanagement.

We have committed to a rapid review of the environment improvement plan, to be completed by the end of the year, which will set out how DEFRA will deliver the Government’s legally binding targets. The Government will develop a new statutory plan to protect and restore our natural environment, with delivery plans to meet each of our ambitious targets under the Environment Act 2021, including cleaning up our waterways.

This Government require water companies to publish sewage discharge monitoring data online in near real time and in an accessible format. The Environment Agency independently monitors and scrutinises all the data submitted by water companies as part of its requirements for the monitoring of sewage outlets.

All that activity must be seen in the wider context of the actions that this Government are taking to demonstrate our commitment to prioritising the clean-up of all our waterways. In the first weeks of this Labour Government, the Secretary of State met water companies to make it clear to them that under this Government they will be answerable for their performance for customers and the environment. We have secured an agreement from all companies to amend their articles of association, which are the governing rules of each entity, placing customers and the environment at the heart of their objectives, thereby reinforcing the inherent social and moral responsibilities that come with operating a public utility.

The Secretary of State has also written to Ofwat, securing agreement that vital funding for infrastructure is ring-fenced and can only be spent on upgrades that benefit customers and the environment. Ofwat will also ensure that when money for investment is not spent, companies will refund customers, with money never being allowed to be diverted for bonuses, dividends or salary increases.

Olivia Bailey Portrait Olivia Bailey
- Hansard - - - Excerpts

I thank my hon. Friend for giving way, and I thank her and the Government for the decisive action they are taking to clean up our rivers and streams. Will she reassure us that chalk streams will very much be a part of that plan?

Emma Hardy Portrait Emma Hardy
- Hansard - -

I thank my hon. Friend for her intervention and she is absolutely right—chalk streams are a precious, beautiful habit that mean a lot to this Government and to the people of this country.

Ofwat has set out a record £88 billion in proposed expenditure to deliver cleaner rivers and seas, and better services for customers through price review 2024. On 4 September, we introduced the Water (Special Measures) Bill to Parliament, which is a key step towards fulfilling our commitment to put water companies under special measures. Through this legislation, we will drive meaningful improvements in performance and the culture of the water industry.

Although the Bill marks a significant first step towards a transformative change across the sector, this Government are clear that the Bill alone will not be sufficient to fix our broken water system. However, it represents an immediate downpayment on the comprehensive reforms that are needed after years of failure and environmental degradation. We need to reform the whole water system to tackle the deep-rooted problems, which is why this Government will carry out a review to fundamentally transform how our water system works. We are bringing in expertise from a range of people who cover specific areas such as the environment, public health, consumers, investors, engineers and economics, including a public consultation to test these proposals and bring in a diverse range of views.

This Government also want to work across the House to fix our broken system. The hon. Member for Harpenden and Berkhamsted is very welcome—indeed, like all hon. Members—to consult key stakeholders in her constituency and to feed their thoughts into the review, because we want to reset the water system for decades to come and we want to involve as many people as possible in that consultation.

That work will culminate in further legislation to fundamentally transform our water industry and restore our rivers, lakes and seas for good. I will provide more details on that as soon as possible, including on how each Member of Parliament can take part in the process. Also, because this question came up, I will just add that there is a regulatory review at the moment of all of the regulators involved in DEFRA.

This Government are committed to the protection and restoration of our cherished chalk streams. We recognise that these unique rivers are not just vital ecosystems but a symbol of our national heritage. The measures that I have outlined today are just the beginning. They represent the crucial first steps towards a comprehensive reset of the water industry. By implementing these strategies alongside a broader range of initiatives, we can drive long-term, transformative change through the entire water sector. Our goal is to rehabilitate and protect these invaluable resources while effectively regulating against adverse impact, including sewage discharge.

Together we can restore these rivers, not just for our own benefit but for that of the generations that will follow us. Let us stand united in this mission, ensuring that our chalk streams continue to flow clearly and vibrantly, reflecting the beauty and richness of our natural landscape for years to come.

Question put and agreed to.

Flood Response: September 2024

Emma Hardy Excerpts
Monday 7th October 2024

(3 months, 1 week ago)

Written Statements
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Emma Hardy Portrait The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Emma Hardy)
- Hansard - -

Just over 1,000 properties flooded in late September after double the monthly average of rain fell across central and southern England. Devastating impacts were felt in communities across Northamptonshire, Bedfordshire, Oxfordshire, Shropshire, Buckinghamshire and north-west London in particular. Our deepest sympathies are with those whose homes and businesses have been damaged, whose lives have been upended, and who are now facing months of disruption and upset. The Government reiterate their thanks to the Environment Agency, local responders and many others who worked tirelessly to help communities across the country deal with the impacts.

The condition of flood defences has declined in recent years through a lack of investment. This was compounded when no more funding was made available by the previous Government to repair damage from last winter. Asset condition is now at 92%, its lowest point since 2010, with approximately 60,000 properties at higher risk. The Environment Agency has allocated £36 million this year to do the most urgent repairs from last winter’s flood events.

Despite this, over 22,000 properties were protected by existing flood defences. Assets have stood up well. The Environment Agency has not had any reports of asset failures that have resulted in flooding. There may be some unseen damage to defences, which the Environment Agency will inspect and assess once the river levels have subsided. My Department will be carrying out a post-event assessment with resilience partners to identify where lessons can be learned.

Protecting communities from flooding is a key priority for this Government. The Government are determined to turbocharge the delivery and repair of flood defences, improve drainage systems and develop natural flood management schemes. That is why we held the first meeting of the Government’s newly established flood resilience taskforce last month. The Government set up the taskforce to improve co-ordination of the national and local flood response and strengthen preparedness ahead of the winter flood season.

We are investing over £1.25 billion this year to scale up national resilience through building new and improving existing flood defences. The Government are reviewing the investment programme to get it back on track after the pace slowed due to the impacts of inflation and delays with the supply chain. Decisions on future spending will be made at the spending review later this month.

The Environment Agency’s Flood Action Week is running from 14 to 20 October. The campaign has simple messages and aims to increase awareness of the risk of flooding and what individuals and communities can do to prepare.

Together, the Government’s work to improve co-ordination of flood response, strengthen our preparedness and invest in our flood defences will better protect communities from flooding right across the country.

[HCWS104]

Oral Answers to Questions

Emma Hardy Excerpts
Thursday 12th September 2024

(4 months ago)

Commons Chamber
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Sarah Bool Portrait Sarah Bool (South Northamptonshire) (Con)
- Hansard - - - Excerpts

3. What steps he is taking to support British food producers.

Emma Hardy Portrait The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Emma Hardy)
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I congratulate the hon. Lady on her achievement in the election.

The Labour Government will restore stability and confidence in the sector, introducing a new deal for farmers to boost rural economic growth and strengthen food security alongside nature’s recovery. We will make the supply chain work more fairly, back British produce, and cut energy prices through GB Energy. We are continuing the roll-out of the sustainable farming initiative, and will optimise schemes and grants.

Sarah Bool Portrait Sarah Bool
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In recent weeks, I have had the pleasure of meeting farmers in Evenley at Stowe Heights farm and Barnowl farm, two of the amazing producers in South Northamptonshire. However, they and many other farmers are gravely concerned by media reports that the farming budget will be cut by £100 million. Can the Minister confirm that that is not the case, and that support for local producers is to be maintained?

Emma Hardy Portrait Emma Hardy
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Those sound like wonderful farms to visit—I might even be tempted to pop in and see them myself. Our farming Minister, my hon. Friend the Member for Cambridge (Daniel Zeichner), has done an incredible job, going up and down the country visiting many farmers and talking to stakeholders. As I am sure the hon. Lady will understand, anything involving the Budget is part of the spending review process, and answers will be given in due course.

Lindsay Hoyle Portrait Mr Speaker
- Hansard - - - Excerpts

I call the shadow Secretary of State.

Steve Barclay Portrait Steve Barclay (North East Cambridgeshire) (Con)
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Both in that answer and in the earlier answer from the environment Minister, the hon. Member for Coventry East (Mary Creagh), the House has heard Government Front Benchers say that no decision has been taken on the farming budget. However, media reports say that the Chancellor has decided to cut the farming budget by £100 million, as she prioritises her trade union paymasters over farmers. In these first DEFRA questions of the new Parliament will the Minister rule out cuts to the farming budget? Farmers are watching these questions, and need to be able to plan their business and have confidence that the budget will be maintained.

Emma Hardy Portrait Emma Hardy
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I hate to be the bearer of bad news, but I think the right hon. Gentleman will find that it was the previous Government—in fact, the Department for which he was responsible—who underspent the farming budget, despite their promises to spend £2.4 billion a year. That underspend broke a manifesto promise. He will also remember, because it is not all that long ago that he was on the Government Benches, that decisions about the Budget are made as part of the spending review.

Sarah Coombes Portrait Sarah Coombes (West Bromwich) (Lab)
- Hansard - - - Excerpts

4. What recent progress he has made on increasing the accountability of water companies for pollution discharges into waterways.

--- Later in debate ---
Harriett Baldwin Portrait Dame Harriett Baldwin (West Worcestershire) (Con)
- Hansard - - - Excerpts

6. What steps he is taking to support farmers.

Emma Hardy Portrait The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Emma Hardy)
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This Labour Government will introduce a new deal for farmers to boost rural economic growth and strengthen food security alongside nature recovery. We will make the supply chain work more fairly, better protect farmers from flooding and back British produce. We are continuing the roll-out of the sustainable farming initiative and will optimise schemes and grants to ensure that they work for farmers.

Harriett Baldwin Portrait Dame Harriett Baldwin
- View Speech - Hansard - - - Excerpts

It is the time of year when we thank farmers and nature for the harvest, and it has been a particularly difficult year. Farmers are planning ahead for next year, so will the Minister kindly give me a one-word answer to my question? I understand that she cannot announce what is in the spending review, but in the request that her Department has made to the Chancellor, is the amount she has asked for more or less than £2.4 billion?

Emma Hardy Portrait Emma Hardy
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I thank the hon. Lady—dare I say, my hon. Friend—for her question. Yes, it is good to remind ourselves that this is the time of harvest, when we should all be grateful and give thanks. In answer to her question, as a previous Chair of the Treasury Committee she knows that we cannot make comments on the Budget before it comes through. Like the Secretary of State, I do not wish to be in trouble with the Chancellor either.

Lindsay Hoyle Portrait Mr Speaker
- Hansard - - - Excerpts

Right, we come to Mike Amesbury—let us see if he gets in trouble.

Mike Amesbury Portrait Mike Amesbury (Runcorn and Helsby) (Lab)
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Thank you, Mr Speaker.

Last week, I met farmers in the Frodsham part of my constituency who were asking for support to curtail the industrial thefts of GPS systems. Will the Minister meet me to discuss that, with representatives of the National Farmers Union?

Emma Hardy Portrait Emma Hardy
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It is always a pleasure to meet my hon. Friend, and I would be delighted to talk to him about that in more detail.

Graeme Downie Portrait Graeme Downie (Dunfermline and Dollar) (Lab)
- Hansard - - - Excerpts

T1. If he will make a statement on his departmental responsibilities.

--- Later in debate ---
Beccy Cooper Portrait Dr Beccy Cooper (Worthing West) (Lab)
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T3. Raw sewage was discharged into our rivers and seas for a shocking 4 million hours last year. Will the Minister reassure our coastal communities, including my own in Worthing West, that water companies will be held accountable for the necessary investment to address the systemic and chronic pollution of our waters?

Emma Hardy Portrait The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Emma Hardy)
- View Speech - Hansard - -

Congratulations to my hon. Friend on her election. She is absolutely right to be outraged at the level of sewage pumped into our rivers, lakes and seas under the previous Government. I hope that where she saw inaction in the past, she will see this Government taking action right now through our Water (Special Measures) Bill. We will not stand by and allow these levels of pollution to continue.

Ayoub Khan Portrait Ayoub Khan (Birmingham Perry Barr) (Ind)
- View Speech - Hansard - - - Excerpts

T2. Water bills in the west midlands are set to increase by some 37% by the end of the decade. Many of my constituents are already struggling with the cost of living. What steps will the Secretary of State take to stop private water companies ripping off consumers in the west midlands and to keep bills at an affordable level?

Emma Hardy Portrait Emma Hardy
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Of course, we recognise the impacts of the cost of living on all our constituents, but the years of under-investment by the Conservatives mean that we need £88 billion-worth of investment in the industry. Customer bills will be ringfenced under the changes brought about by the Government, and if that money is not spent on infrastructure improvement, it will be refunded to customers. Of course, the final bills are determined by Ofwat, not the Government.

Helena Dollimore Portrait Helena Dollimore (Hastings and Rye) (Lab/ Co-op)
- View Speech - Hansard - - - Excerpts

T4. My constituents in Hastings and Rye got their water bills this month. Many of them were shocked to see their bills going up despite the failures of Southern Water, which include sewage dumped along our coastline, flooding in our town centre and leaving us without water. It has even charged us for the five days when the taps ran dry. What are the Government doing to clean up the mess left by Southern Water and by the Conservative party?

--- Later in debate ---
Marie Tidball Portrait Dr Marie Tidball (Penistone and Stocksbridge) (Lab)
- View Speech - Hansard - - - Excerpts

Under the Conservative Government, there were almost 18,000 hours of sewage dumping in my constituency in 2023. What is the Minister doing to ensure that Yorkshire Water cleans up its act and our beautiful River Don?

Emma Hardy Portrait Emma Hardy
- View Speech - Hansard - -

I thank my hon. Friend for her question and welcome her to her place. She is already a tireless champion for her constituency, and she has raised this issue with me in the past. Our new Water (Special Measures) Bill will clean up our rivers, lakes and seas, undoing the damage left behind after 14 years of Conservative rule.

Alison Griffiths Portrait Alison Griffiths  (Bognor  Regis  and Littlehampton) (Con)
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T8.   The Secretary of State is certainly talking tough, but will he publish the justice impact test for his Water (Special Measures) Bill and list the additional court cases and prison places needed?

--- Later in debate ---
Joshua Reynolds Portrait Mr Joshua Reynolds (Maidenhead) (LD)
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Before the school summer holidays, 26 year 3 students at Holy Trinity primary school in Cookham wrote to me about sewage in the Thames. They are really concerned that water companies are allowed to get away with putting sewage in our water. Will the Minister meet me and students at Holy Trinity to discuss their concerns?

Emma Hardy Portrait Emma Hardy
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As a former primary school teacher, how can I not say yes to a meeting with the students from my hon. Friend’s constituency? I am already looking forward to it.

Terry Jermy Portrait Terry Jermy (South West Norfolk) (Lab)
- View Speech - Hansard - - - Excerpts

I am very concerned about the future of the Thetford biomass facility in my constituency. Every year, it turns half a million tonnes of poultry litter into electricity. Has the Secretary of State had meetings to discuss the potential impact of the end of the renewables obligation scheme on the disposal of poultry litter?

Freddie van Mierlo Portrait Freddie van Mierlo (Henley and Thame) (LD)
- View Speech - Hansard - - - Excerpts

Will the Secretary of State meet me and the Environment Agency to discuss the closure of Marsh Lock bridge on the Thames path in Henley-on-Thames?

Emma Hardy Portrait Emma Hardy
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I would be happy to meet the hon. Gentleman and the Environment Agency to discuss the matter in more detail.

The Solicitor General was asked—

Water Framework Directive Regulations and River Basin Management Planning

Emma Hardy Excerpts
Wednesday 11th September 2024

(4 months ago)

Written Statements
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Emma Hardy Portrait The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Emma Hardy)
- Hansard - -

Today the Government are laying before the House our full response to the Office for Environmental Protection’s review of the implementation of the water framework directive regulations and river basin management planning.

The Government welcome the OEP’s recommendations and accept its key conclusions that not enough progress has been made by previous Governments to improve the water environment and meet the WFD objective to restore 75% of water bodies to good ecological status or good ecological potential. We face a major challenge in achieving these objectives due to years of underinvestment and insufficient action.

This Government are committed to taking action to accelerate progress on improving the water environment. There are systemic issues that require urgent reform of our water system. The Government will set out over the coming months their plans to fundamentally transform how our water system works and clean up our rivers, lakes and seas for good. This will include a review of the framework that underpins our water sector, to ensure it delivers long-term stability, and reflects the needs of customers and the environment. We expect that the OEP’s review of the WFD will be an important contribution to inform the review.

The Government response will be available on gov.uk.

[HCWS86]

Water (Special Measures) Bill

Emma Hardy Excerpts
Tuesday 10th September 2024

(4 months ago)

Written Statements
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Emma Hardy Portrait The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Emma Hardy)
- Hansard - -

On 4 September, the Government introduced the Water (Special Measures) Bill to Parliament to deliver on our manifesto commitment to put water companies under special measures to clean up our water. This builds on the statement of 11 July, which set out our first steps for ending the crisis in the water sector, and paves the way for a review to shape further, transformative legislative change to fundamentally transform how our water system works and clean up our rivers, lakes and seas for good.

This Government will never look the other way while water companies pump record levels of sewage into our rivers, lakes and seas.

To deliver on the manifesto commitment to “block the payment of bonuses to executives who pollute our waterways”, the Bill will provide Ofwat with a new power to establish rules for the water industry relating to governance and remuneration.

The Bill also delivers on the manifesto commitment to “bring criminal charges against persistent law breakers” by making obstruction of the general investigatory powers of the Environment Agency, Natural Resources Wales and the Drinking Water Inspectorate punishable by imprisonment; and by opening up new routes for prosecuting executives.

To deliver on the manifesto commitment to “impose automatic and severe fines for wrongdoing”, the Bill will enable the Environment Agency and Natural Resources Wales to issue automatic fines for certain offences, ensuring water companies face rapid repercussions where it is immediately clear they have acted unlawfully.

To deliver on the manifesto commitment to “ensure independent monitoring of every outlet”, the Bill will place a requirement on water companies to publish data on discharges from emergency overflows in near real-time. This data will be independently scrutinised by the regulators.

Finally, the Bill will also modernise and strengthen the water industry special administrations regime by introducing procedural rights around winding up petitions, and providing powers to recover the costs of special administration—bringing it in line with other sectors, such as energy.

Taken together, these measures will turn around the performance of the water industry and will be a first important step in enabling long-term and transformative change across the water sector.

However, I am clear that there are other fundamental challenges facing the sector, which will not be addressed by this Bill alone. A comprehensive reset is needed to restore our rivers, lakes and seas to good health, deliver a resilient water supply in the face of a changing climate, and ultimately ensure that the water sector works for customers and the environment.

Therefore, to build on the critical first steps of the Water (Special Measures) Bill, this Government will carry out a review of the water sector regulatory system and will fundamentally transform the water sector through future legislation. The review will focus on the private regulatory model and will not change plans for much needed investment in PR24. It will ensure that the framework that underpins our water sector delivers long-term stability, with incentives aligned to clear, achievable targets that reflect the needs of customers and the environment at a catchment, regional and national scale, supporting the Government's growth mission. We will invite views from a range of experts covering areas such as the environment, public health, consumers, investors, engineering and economics, and this will include a public consultation to test the proposals and bring in a diverse range of views. Further details will be set out in the autumn.

[HCWS79]

Flood Defences: West Worcestershire

Emma Hardy Excerpts
Wednesday 24th July 2024

(5 months, 3 weeks ago)

Commons Chamber
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Emma Hardy Portrait The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Emma Hardy)
- View Speech - Hansard - -

Thank you and congratulations, Madam Deputy Speaker. It is a night of firsts—I am giving my first speech as Minister and we have you here for the first time as Deputy Speaker—but of course we have the continuity of the hon. Member for Strangford (Jim Shannon) being here to intervene in the Adjournment debate. As so many things change, so many things remain the same. Long may that continue.

I am delighted to respond to the hon. Member for West Worcestershire (Dame Harriett Baldwin), who I hold in high regard and esteem. I enjoyed our time together on the Treasury Committee. I am pleased, in my first debate as Minister, to be able to talk to her about something that we had conversations about before I took this role. I want to state at the beginning that I will be very happy to continue the conversation; I recognise that she requested a meeting and I will be more than happy to follow that up.

The hon. Member alluded to 2007, which we remember very well. She talked about the challenge and the impact in her constituency, and it was the same for me in Hull—absolutely devastating. As she mentioned, people continue to feel the trauma, which has a long-lasting impact not just on the economy and the state of people’s property, but on people’s mental health. I therefore want to make it abundantly clear that this Government are committed more than ever to protecting communities from flooding. It is one of our top five priorities in the Department for Environment, Food and Rural Affairs, and the good news is that the work has already begun.

I want to be as open and honest as possible with the hon. Member, so I have looked in detail at the two schemes that I was aware she would raise tonight. Although I have been informed that the Environment Agency has completed some work since 2007 and progress has been made—I am sure we both want to acknowledge that—these two schemes do seem to be particularly difficult. I recognise that she raised the same issue with the previous Minister. I extend my sympathies to all the communities of West Worcestershire who were affected by the winter flooding, which is an awful thing for anyone to experience. I enjoy and share the hon. Member’s persistence. In fact, I believe that this place only works when we have persistent and talented women leading the way, so I am absolutely with her on that.

Let me turn first to the Severn Stoke flood alleviation scheme. I understand that the hon. Member was involved in securing some of the soil required for the embankment. My understanding of the situation is that if the scheme is completed, it will better protect 18 homes and businesses and the Rose and Crown pub, which I have heard good things about, but the difficulty seems to be making sure that the scheme is within the funding envelope that has been allocated. My understanding—I will make a comment on the funding formula—is that the benefits of the scheme, as assessed, cannot be greater than the cost of delivering the scheme. The funding envelope that has been allocated is based on the benefit that is meant to be given, so the scheme has to be delivered within that envelope, even though payment in kind has been received, in terms of the provision of the soil. That is the difficulty with that particular scheme. The good news is that the Environment Agency is still working on finding a contractor; it is still going out there and talking to organisations that could deliver the scheme within the budget available.

The hon. Member mentioned the role that she could play. She has knowledge and experience of businesses in the area, and that might be one avenue to explore with contractors, who would learn the benefits that they would bring to the city and how they would be celebrated. We would need to make sure that they could deliver within the funding that is provided. That is the particular difficulty, as I understand it. I recognise the frustration that the hon. Member expressed. There can be nothing more frustrating than, to use her words, a forlorn pile of soil sitting there doing nothing. I share her frustration, and I hope that we can find the contractor that is needed.

Julie Minns Portrait Ms Julie Minns (Carlisle) (Lab)
- Hansard - - - Excerpts

Does the Minister agree that many flood schemes have not been completed, including a number in my constituency of Carlisle, as a direct result of the economic chaos created by the previous Government, which has forced the Environment Agency to cancel a quarter of the planned schemes?

Emma Hardy Portrait Emma Hardy
- Hansard - -

It is great to see my hon. Friend in the Chamber. She is right. The economic chaos that we face, and which continued as we changed Government, Prime Ministers and Chancellors, did not provide the stability needed to get on with these schemes and deliver them. The change that people required has now taken place, and we have stability and new Ministers—hopefully, I am not going anywhere quickly—so I hope we can get on and deliver. I hope that my hon. Friend will be persistent in pursuing this issue.

I had a careful look at the Tenbury Wells scheme mentioned by the hon. Member for West Worcestershire and how complicated the measure would be. As she said, it would potentially involve people having to move house and, at times, parts of their garden being removed and roads being closed. I understand that the necessary consultation has been undertaken with residents, in the detail needed. Nobody wants a scheme that will be expensive and disruptive, or that does not perform as expected. Anything put in place must also be in keeping with that beautiful part of the country. As a result, design costs have increased repeatedly. There is always the difficulty that we want something that is as good as possible at ensuring flood alleviation, designed in the best possible way, in keeping with the character of the town and that causes minimum disruption.

My understanding of the situation is that the scheme has become much more expensive as time has gone on; that is something that we might want to discuss in more detail when we meet. It is important that we get it right, and that it is affordable, given the amount of money that has been allocated. I am happy to take forward that conversation. I would not want to be the Minister for delivering something that residents would not want to have in their community.

As the hon. Member will know from the National Audit Office report, “Resilience to flooding”, which was published last November, we have inherited a floods capital programme that faces extreme delivery challenges. As has been mentioned, the NAO cites a number of projects that have not gone through, partly because they could not be delivered within the timeframe, partly because of inflation, and partly because of covid and other challenges in government. That has had an impact, so I am reviewing absolutely everything that is going on in the Environment Agency and looking at all the schemes. I want to update hon. Members on all that as quickly as possible, and if anyone wishes to see me about individual schemes, they are more than welcome to do so.

Mark Garnier Portrait Mark Garnier
- Hansard - - - Excerpts

I congratulate the Minister on her new job; she is doing a fantastic job so far and saying all the things that I, as a neighbour of this scheme, want to hear. She talked about reviewing the project, and I think we would all agree that there is no harm in that, but it is probably worth bringing up my experience just down the river from Tenbury Wells in Bewdley, where flood defence schemes are being put in place very successfully, and are working well for the town and the community. However, one issue keeps coming up: the disruption caused by having to switch to one-way traffic on the bridge results in a slight drop-off in trade in the town.

It is very early days for the Minister, but as part of the review, it might be helpful to reassure traders. Perhaps her Department could look at not necessarily financial compensation, but something that could help businesses that struggle with cash flow during lean periods because of the works, in order to get them through. Ultimately, we will get far better economic value from a town that has flood defences, because it will not flood any more, but in the interim, this issue is problematic. I ask her respectfully to have a look at that in her review, so that we can help traders to get over the hump—that difficult moment—of the flood defence works.

Emma Hardy Portrait Emma Hardy
- Hansard - -

I thank the hon. Gentleman for his kind words, and I recognise the difficulty that these works cause to businesses. That goes to the point that I made to the hon. Member for West Worcestershire: the design has to be right, and works have to be done in conjunction with the community. That is why works sometimes become more expensive. However, I will take away the point the hon. Gentleman makes.

On the funding formula, I said many times in opposition that I was keen to look under the bonnet, and now I am delighted to get that chance for a detailed look at exactly how things work. That is something I am reviewing. As is always the case, pulling one lever can have unintended consequences elsewhere, so I hope the hon. Gentleman will forgive me for not giving the details of exactly which levers I intend to pull. However, I am actively gaining a clear and transparent understanding of how the funding works, who the winners and losers are under the formula that we have, and our priorities.

Jim Shannon Portrait Jim Shannon
- Hansard - - - Excerpts

In my intervention on the hon. Member for West Worcestershire (Dame Harriett Baldwin), I referred to insurance premiums. If we sort the flooding out, insurance premiums will fall and there will be less cost. That must be a factor for constituents and their living costs. Is that something the Minister will look at, please?

--- Later in debate ---
Emma Hardy Portrait Emma Hardy
- Hansard - -

I thank the hon. Gentleman for his second intervention in this Adjournment debate; we are doing well. I have been passionately supportive of the Flood Re scheme, but it is meant to come to an end in 2039, and I am looking at that in real detail. The whole point of the Flood Re scheme was that we would be able to build resilient properties, which would not be reliant on it, but that has not happened—I think we need a level of honestly about that—so I am looking at the Flood Re scheme at the moment. We want to ensure that wherever people live in the United Kingdom, they are able to find affordable insurance for their property. That has to be a priority.

In the last few minutes that I have, I will touch on one of the other big problems we face, which is the maintenance of existing flood defences. We have talked a lot in this debate about the capital building, and the need to build new flood defences, but we have a significant issue with the flood defences that we already have, and it has been exacerbated by the problems we had as a result of the two storms. One of my big concerns is the deterioration over the past few years of some of our key infrastructure. That is another priority for me.

In opposition, I talked about our flood resilience taskforce and what Labour would do, and I am pleased to say that Labour is getting on with this as promised. We will look to create the taskforce as soon as possible, ahead of the wettest season. The flood resilience taskforce will look at co-ordination across Government and across agencies on the ground, and will work with stakeholders in fire and rescue services, to inform policy and establish national standards. A difficulty I often noticed in opposition was with Government Departments maybe not always working together as one when they should.

To finish, this Government are dedicated to collaborating closely with the Environment Agency and, of course, the hon. Member for West Worcestershire to advance the Severn Stoke and Tenbury Wells schemes in her constituency. More generally, however, this Government commit to works that will ensure that communities throughout England receive the protection that they need, especially as the risk of flooding rises due to climate change. I salute her and every other Member present for their persistence on this matter.

Question put and agreed to.