South West Water: Brixham Contamination

Baroness Hayman of Ullock Excerpts

Wednesday 22nd May 2024 Lords Chamber

[Baroness Hayman of Ullock (Lab)]

My Lords, recent events in the Brixham area have once again highlighted the sorry state of the water sector, yet just this week water companies in England and Wales have asked the regulator for permission to increase bills by up to 91%. They say that this is necessary to improve the water network, something that Professor Chris Whitty says is a public health priority as well as an environmental one. This pressing need has not prevented United Utilities increasing its dividend payments by nearly 10% while at the same time polluting Lake Windermere. Other firms are increasing payouts to investors despite their poor performance. Is it not time for the Government to call time on the current system by putting water companies into special measures and ensuring that law-breaking bosses face criminal charges rather than receiving bumper pay packets?

[The Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs (Lord Douglas-Miller) (Con)]

I thank the noble Baroness for her question. We have debated a number of times the issue of special measures, and I think I have been clear in the House every time I have stood at the Dispatch Box that the Government will use special measures when the criteria for them are met. I accept that that is quite a high bar, but there are a number of other options for all those water companies that they should fully explore before the Government will consider putting them into special measures.