Water Bill

Debate between Alison Seabeck and John McDonnell

Monday 6th January 2014 Commons Chamber

[John McDonnell]

I have heard the argument about infrastructure investment doubling since privatisation, but what is significant—

[Alison Seabeck]

Let me pursue the point about South West Water. There is no doubt that it has made dramatic inroads into the problems around the coasts, but there is an issue with the privatisation in the first place. The customer base was far too small to sustain the work that needed to be done around those coasts. As a result, bill payers in the south west—here I disagree with the hon. Member for Newbury (Richard Benyon)—are paying an extraordinarily high amount for their water.

[John McDonnell]

I agree that significant investment has been made in the infrastructure, but the problem is that since the 1990s that has declined as a proportion of the overall turnover of the industry. So the record is not glowing by any means, and the cost of that investment has been paid through significant debt burdens on those companies, which is eventually then paid for by consumers