Working People’s Finances: Government Policy

Chris Evans Excerpts

Tuesday 21st September 2021 Commons Chamber

[Chris Evans (Islwyn) (Lab/Co-op)]

I apologise to you, Madam Deputy Speaker, for missing the opening minutes of the debate, and thank you for allowing me to speak this afternoon.

It was a pleasure to hear from the new hon. Member for Hartlepool (Jill Mortimer). I expect she will know that the colourful football manager Brian Clough started off at Hartlepool United, and I am sure that those on the Government Benches are hoping that she does not turn out to be as controversial, as outspoken or as rude as he proved to be over the course of his career.

As we enjoy the last of the summer, our thoughts will soon turn to winter and the challenges of fuel poverty. The rise in rail fares, council tax increases and rising household energy bills are of concern to hard-pressed families, but what is rarely mentioned is the extortionate price of water. Access to safe drinking water is one of the most basic human needs. Water should not be expensive, and it should not be causing environmental damage to our local areas. This appears to be a bare-minimum service, but I am sad to say that in Wales, the co-operative Dŵr Cymru Welsh Water is failing to meet even that standard. It is shameful that families are being let down on something as vital as their water bills. The Consumer Council for Water has found that the unemployed, call centre workers and carers are hardest hit by high water bills, simply because they do not know that help is available, and water companies have been found wanting when it comes to publicising such schemes.

Wales has some of the most impoverished communities in the UK. In 2020, median gross weekly earnings in Wales were the third lowest amongst the 12 UK countries and English regions. Water ought to be affordable for all, yet Welsh Water’s forecast average bill in 2021-22 is the third highest of all the companies in England and Wales. To put this in perspective, Severn Trent Water, which covers most of Gloucestershire, Bristol and Birmingham, has among the lowest bills in the country, so simply living across the border means enjoying lower prices. I am sure that Dŵr Cymru Welsh Water’s public affairs department will be on the phone to me and sending me emails and press releases telling me that it is different in that it has a higher geographical area and a coastline, but it seems amazing to me that the City of London, where some of the richest people live, benefits from the lowest prices from Thames Water. Why is that the case? How can Dŵr Cymru Welsh Water, a company that frequently touts its not-for-profit status, not be ashamed of the fact that it is forcing families with household incomes far below the average to pay some of the largest water bills in the country? This is a company that is failing its communities.

For some, the extortionate prices are just laughable, given that their water supply is not even reliable. One village in Denbighshire has been plagued by supply issues this year. Residents have experienced extremely poor water pressure and a complete halt in water supply on several occasions. Their water went off completely in July for the ninth time in the year. That is more than once a month. How can the company possibly justify charging some of the highest prices and then fail to even deliver the water? To add insult to injury, Welsh Water has confirmed that work to rectify the supply issues will not get under way until next May, a full six months away, and meanwhile we are facing a hard winter. That is not an isolated case. I know of many Members, from Newport to Monmouthshire, who have had problems with water supplies.

High bills and poor service are compounded by the environmental damage that Welsh Water has contributed to in our Welsh rivers. Wales is fortunate enough to have some exceptionally stunning waterways and countryside, but they are being threatened by the irresponsible actions of Welsh Water. At a time when we are trying to attract people to come to Wales for tourism and holidays, they are being faced with polluted rivers. It is not good enough. I was horrified to watch a “Panorama” programme earlier this year that found that Welsh Water had been illegally dumping raw sewage into rivers. This is extremely damaging for the ecosystems of the rivers, it is unsanitary and it is a dangerous breach of the company’s permits. It ruins the rivers for the many dog walkers, wild swimmers and paddleboarders who wish to enjoy the beauty of the Welsh countryside. It threatens the biodiversity of the rivers, puts wildlife at risk and results in large-scale ecological damage. Above all, it risks the health of the most vulnerable customers in the country, and still nothing is being done.

There is no defence for this. It is not a one-off mistake or a small-scale problem. Last year, sewage was dumped more than 100,000 times across 2,000 water treatment works and sewer overflows across the Welsh Water network. That is a shockingly high rate, and Welsh Water must be held accountable for the damage that this has caused. Welsh Water was found by the “Panorama” investigation to be one of the worst offenders across England and Wales. According to its data, three of its treatment works were in breach of their permits. The Aberbaiden plant had illegally discharged untreated sewage on 12 consecutive days in December into the River Usk. That sewage gets into the system, and our children will drink that water. Our elderly will drink that water. This is a scandal of epic proportions and it needs to be called out. The Usk is a protected river, and a special area of conservation. For Welsh Water to be dumping untreated sewage into an environmentally protected river is absolutely abhorrent and shows flagrant disrespect for the communities it operates in.

Dŵr Cymru Welsh Water says that it is run

“solely for the benefit of customers”,

yet it has some of the most expensive water in England and Wales, which it does not always deliver to the households it claims to serve anyway. Meanwhile it is consistently breaching its permits by dumping untreated sewage into the rivers. How can this possibly be the action of a company acting solely for the benefit of customers? Surely it would be more beneficial to them if Welsh Water ensured that its water bills were more affordable. I am a huge advocate for co-operatives, and I sit here proudly as a Labour and Co-operative Member of Parliament, but this one is failing. Welsh Water is failing in its environmental commitments and it is failing its customers, and it must be held to account.

The Public Accounts Committee held an inquiry on the water industry in 2015, and Ofwat has launched investigations. I implore those on the Treasury Bench to look into the actions of Welsh Water and make sure it starts delivering for its customers before we see an environmental scandal on a larger scale.