Independent Water Commission

Debate between Chi Onwurah and Steve Reed

Monday 21st July 2025 Commons Chamber

[Steve Reed]

As the right hon. Member correctly points out, Scotland has a nationalised water company—under the control of the SNP Government, of course—and water pollution is worse than in England as a result. I am more than happy to write to him to give him the facts so that he can come back and correct the record in due course.

[Dame Chi Onwurah (Newcastle upon Tyne Central and West) (Lab)]

Yesterday I had a lovely swim in the North sea off Bamburgh castle, and I would like to thank the Safer Seas and Rivers Service for telling me which beaches to avoid due to sewage spills by Northumbrian Water. Not all my constituents swim, but they all tell me that the current situation is disgraceful. They will not be reading a 500-page report, so could the Secretary of State explain to them whether it is: a) their fault for not accepting higher bills, as Tory former Ministers and Water UK say; b) the water companies’ fault for extracting so much more value—in the shape of dividend and bonus payments and loading the companies with debt—than they put into them; or c) because water is a natural monopoly and incredibly difficult to regulate effectively in the private sector? Or is it both b) and c)?

[Steve Reed]

I was slightly confused by that question, if I am honest. My hon. Friend is very brave to go swimming in the North sea, but I know that many people enjoy that. The changes that we are making will bring about effective regulation and appropriate levels of investment and protect customers from the shocking bill hikes that we saw last year, which were the direct result of 14 years of failure by the Conservative Government. I am sure my hon. Friend’s constituents will welcome that.

Water (Special Measures) Bill [Lords]

Debate between Chi Onwurah and Steve Reed

2nd reading
Monday 16th December 2024 Commons Chamber

[Steve Reed]

I pay huge credit to my hon. Friend. She has been such a champion for her communities in Hastings and Rye, demanding the better water services they deserve.

The failure to invest in our water infrastructure means that the demand for clean drinking water will start to outstrip supply as early as the mid-2030s. Without urgent action, some parts of the country would then face water rationing. The water system is broken but, instead of fixing it, the previous Conservative Government just stood back and watched as our water infrastructure crumbled into disrepair. Instead of strengthening regulation to ensure water companies invested sensibly and at the right time, the Conservatives hobbled the regulator and let water companies divert millions of pounds into wholly unjustified multimillion-pound bonuses and dividend payments.

[Chi Onwurah (Newcastle upon Tyne Central and West) (Lab)]

Does the Secretary of State share my amazement that under the previous Conservative Government organisations had to campaign to have sewage-free rivers, lakes or seas, as if it were some kind of privilege rather than a right for everyone? Does he have any idea of the amount of money that was taken out of the sector, and out of the infrastructure we needed, in profits and bonuses under that Government?

[Steve Reed]

I agree that it is indeed amazing. I know that all of us on the Labour Benches, and perhaps on the Opposition Benches too, share the public’s anger at what happened to our rivers, lakes and seas.

The legacy of 14 years of Conservative Government is the highest level of sewage spills on record, economic growth held back by a lack of water supplies, and now potentially painful bill rises to fix the problems they left behind.

Independent Water Commission

Debate between Chi Onwurah and Steve Reed

Wednesday 23rd October 2024 Commons Chamber

[Steve Reed]

Well, that was all a little bit embarrassing, wasn’t it? The previous Government had 14 years in power, our rivers, lakes and seas are awash with record levels of pollution, and that is all the Conservatives have to say. I took action seven days after the general election: I brought the water chief execs into my office, and we agreed that money earmarked for investment will be ringfenced so that it cannot be diverted to pay multimillion-pound bonuses to water chief execs who oversee failure in the water sector, as happened on the shadow Minister’s watch. The commission will reset the sector that the Conservatives broke, and clean up the water that they polluted. It will report to the Government in June and inform subsequent legislation.

[Chi Onwurah (Newcastle upon Tyne Central and West) (Lab)]

At the weekend, I went swimming in the North sea —probably for the last time this year—having first checked on the Surfers Against Sewage website that there had not been any legal or illegal spills. It is disgraceful that the last Conservative Government left our seas and waterways in such as state, and it is notable that Water UK continuously blames the regulator for not allowing it to raise prices in order to invest further in our system. Will the Secretary of State make sure that we assess the value extracted by the water companies? They have taken billions of pounds in profits and hundreds of millions in bonuses. We need to make sure that future investment adds value and does not take it away.

[Steve Reed]

I thank my hon. Friend for her comments. Unfortunately, customers have been left to pay the price of 14 years of Conservative failure to secure investment in our water infrastructure, so it has collapsed to such an extent that Ofwat now recommends eye-watering bill increases. Every penny of that is down to the failure of the Conservative party. Our reset will ensure that that kind of catastrophic failure can never happen again.