Water Companies: Regulation and Financial Stability

Grahame Morris Excerpts

Wednesday 23rd October 2024 Westminster Hall

[Grahame Morris (Easington) (Lab)]

Thank you for calling me, Mr Pritchard. It is always a pleasure to serve under your chairmanship.

I congratulate the hon. Member for Westmorland and Lonsdale (Tim Farron) on securing this important debate. There is no doubt about it: his constituency is blessed with some of the most stunning natural beauty in the world, never mind the country, from the fells and woodlands to the Lake district, a UNESCO world heritage site. The illegal sewage dumping at Windermere by United Utilities does not just shame our nation; it should be considered an ecological crime, and those responsible must be held accountable and face the full force of the law.

Although the Lake district is world renowned, I am equally proud to represent a hidden gem: the Durham heritage coast—or, to be precise, the east Durham heritage coast. Our magnificent magnesian limestone cliffs offer spectacular views of the North sea and in the summer the coastal grasslands are alive with rare wildflowers, creating a habitat for the Durham brown argus butterfly and other wildlife. That coastline, once scarred by industrial waste from coal, has been reclaimed by nature, yet now it faces a new threat: sewage.

Sewage overflows, far from being a rare event, have become routine in the water industry. In 2023, Northumbrian Water discharged raw sewage for over 280,000 hours in 46,492 incidents, including into the bathing waters off Seaham and Crimdon in my constituency. The environmental disaster is compounded by the economic abuse by water companies. Since privatisation in 1989, companies such as Northumbrian Water have neglected infrastructure while accumulating staggering debts to pay out dividends.

[Richard Burgon (Leeds East) (Ind)]

My hon. Friend mentions his local water company. People in Leeds and Yorkshire feel ripped off, and it is no wonder, as Yorkshire Water has just announced its intention to increase prices by 35% by 2030. Does he agree that that is a compelling reason why the water companies should be brought into public ownership, so that they can put public service, the public good and environmental good ahead of the accumulation of profits for shareholders?

[Grahame Morris]

I thank my hon. Friend for that intervention. Indeed, Northumbrian Water is not alone. Across the industry, financial mismanagement has gone hand in hand with environmental failure. Northumbrian Water alone has built up £3.5 billion in debt while paying out £4.1 billion in dividends to shareholders. That means that 19% of consumers’ bills in my region go towards servicing debt.

I welcome the Government’s Water (Special Measures) Bill. Its provisions to block bonus payments for executives, require annual pollution reduction plans, and improve transparency on sewage discharges are crucial. The tougher penalties, including the threat of imprisonment for those impeding investigations, are a necessary step. But while we are moving in the right direction, I fear that will not be enough to address the scale of the problem. Yes, the Bill strengthens regulation, and it is certainly more robust than anything proposed by the Opposition now or when they were in government, but will it solve the underlying issues? I suspect that the answer to that one is no.

We cannot ignore the fact that the public are already paying the price for this industry’s failure. We pay through higher bills, polluted waters and an industry debt that now exceeds £60 billion. When the sector finally collapses under the weight of its own excesses, it will be the taxpayer who is left to pick up the pieces. I support the public ownership proposals. I think the costs are vastly exaggerated in the context of the scale of the challenge and the liability.

We must take steps now to fix the debt, pollution and infrastructure crises in the water industry, so we need to go further than is being proposed. Blocking executive bonuses is not enough. Without determined measures, the consequences will be higher bills for consumers, more money lost to debt repayment, and an industry that continues to prioritise profit over public good.

Water Pollution: East Durham

Grahame Morris Excerpts

Wednesday 21st February 2024 Commons Chamber

[Grahame Morris (Easington) (Lab)]

It is quite interesting that the subject of my Adjournment debate is dirty water; it might be appropriate. I thank Mr Speaker for the opportunity to have this debate.

I want to start by correcting the parliamentary record. In a previous Opposition day debate on water quality, on Tuesday 5 December, I said:

“athletes fell ill from swimming in waters contaminated with E. coli”

and

“we know the source of the problem.”—[Official Report, 5 December 2023; Vol. 742, c. 288.]

Subsequently, in a letter dated 11 January 2024, Heidi Mottram CBE, the chief executive of Northumbrian Water, said my statement was factually incorrect. I am advised by Heidi Mottram CBE:

“The UK Health Security Agency (UKHSA) investigated the causes of illness in participants of the World Triathlon Championships Series in Sunderland, reporting in August 2023 with their preliminary findings. They found that 19 of the 31 of those affected had evidence of Norovirus infection, while the remaining samples either tested negative or were found to be positive for other infections, including sapovirus, astrovirus, and rotavirus. No evidence of E. coli O157/STEC was found, which can cause severe gastrointestinal illness. Four samples of other E. coli were found, but it was not possible to link its presence with participation in the triathlon, and these strains can be carried naturally in the gut. The UKHSA report, concludes that ‘the predominance of Norovirus makes it the most likely explanation of illness in participants.’”

I am happy to share those comments from the Northumbrian Water chief executive in the interests of fairness.

However, the Environment Agency’s sampling at Roker beach on Wednesday 26 July—three days prior to the event—showed 3,900 E. coli colonies per 100 ml, which is almost 40 times higher than a typical reading.

[Jim Shannon (Strangford) (DUP)]

I commend the hon. Gentleman for bringing this debate forward. He is right about the water pollution in east Durham; he is also right to underline the medical circumstances. I, too, represent a constituency with an enormous coastline that is highly reliant on the fishing and tourism sectors. Water pollution is a vital issue because it has an impact on our environment, as well as a direct impact on livelihoods. Does he agree that it is imperative to have Government support to deal with small pockets of pollution before they turn into large-scale environmental crises and medical problems, like those he referred to? To make that happen, it takes funding and a Government initiative.

[Grahame Morris]

I thank the hon. Gentleman for that intervention. My personal belief is that the privatised water companies have more than sufficient resources to address the issues if they prioritise infrastructure repair work and do the job that we, as customers, pay them to do.

I am sure that the hon. Gentleman will be more than familiar with this, but in previous debates we heard about correlation and causation: one is a kind of coincidence, and the other is a direct link between one event and another. The samples I referred to, which were 39 times above the average level, were not in the body of the water that was used for the swim. That is absolutely correct. I am therefore sure that it is only a coincidence that high levels of E. coli were detected in a body of water near the swim event. There are no such things as tidal movements, are there? I do not know if they have them in Northern Ireland. There are no such things as prevailing winds, which would move a large body of E. coli into the swim area. I refer to the comments of the Australian triathlete Jake Birtwhistle. They are slightly unparliamentary, but he said:

“Have been feeling pretty rubbish since the race, but I guess that’s what you get when you swim in” —

S-H-1-T—

“the swim should have been cancelled.”

I hope Mr Birtwhistle is reassured by the comments of Northumbrian Water that the high levels of E. coli detected in the waters near to where the swim event took place had nothing to do with the sickness he experienced on the day of the racing.

I am disappointed that, in her letter to me, Heidi Mottram CBE failed to address any of the other issues that were raised in the debate on Tuesday 5 December. They included the issues of debt and dividends, investment, and how to regulate water companies to implement some level of corporate responsibility. The Guardian, which studied financial documents of all the privatised water companies from 1990 to 2023, said that Northumbrian Water is far from the worst-performing water company, which I think makes the following statistics really rather worrying. The Guardian found that 19% of Northumbrian Water’s consumer bill is spent servicing debt. The debt owed by Northumbrian Water is £3.5 billion. Over the same period, it paid £3.7 billion in shareholder dividends. Does the Minister think it is acceptable to use debt to pay shareholder dividends? As a consumer I am outraged, as I am sure are a large number of my constituents.

If this were any other product or service, I could choose to change suppliers. Even in the rail industry—heaven knows, I have been a critic of poor service—I at least have the opportunity to highlight to Ministers failing train operating companies and to advocate that they should be stripped of their contracts for failing to deliver for the travelling public. But water is unique. I can think of no other essential public service that has been privatised where there is no consumer choice or accountability. Water is a private monopoly and a natural monopoly that is essential for life. It is vital national infrastructure. The Government are entitled to impose a strict level of oversight and scrutiny.

It will come as no surprise to the Minister, I am sure, that I personally believe that water should be publicly owned, run in the national interest and deliver public policy goals. However, I accept that neither the Conservatives nor my own Labour Front Benchers have an appetite for a publicly owned water industry, so I want to propose an alternative. First, end the use of debt to pay for dividends. Secondly, prohibit the payment of dividends until debt goals are met. Any profit in the system must go towards water sewerage infrastructure and lowering debt.

Water companies are major polluters. Although Northumbrian Water is adamant about the Sunderland triathlon, there is no doubt that it is routinely polluting rivers and seas. In my constituency, the Safer Seas and Rivers Service app shows that there are three sewage overflows in my constituency, from which there were 184 sewage discharge alerts in 2023—almost one every third day. Northumbrian Water is not limiting these sewage overflows to rare and extreme weather conditions; it a matter of routine disposal of waste. My third proposal is that there should be no dividend payments until clean water targets are met. We need all available resources going towards improvement, upgrades and new infrastructure.

The promise of privatisation is always about improved standards, lower bills and more consumer choice, but experience suggests that the reverse happens: we get lower standards, higher bills and no choice. Therefore, the Government should put an expectation, or indeed a requirement, on private monopolies to deliver for the taxpayer. I am not telling the Government to block profits and shareholder dividends forever—quite the reverse. Private water companies that deliver public policy goals and lower consumer bills, and that make real profits rather than artificial profits funded through debt, could reasonably argue that they deserve to be rewarded, but I have no trust or confidence in the private sector to deliver essential public services in the public interest.

The list of disasters is there for all to see, and it is far longer than just water. It includes probation, prisons, NHS dentistry, bus services, rail, social care, Royal Mail, the Post Office Horizon scandal and energy. Everything seems to be broken, and there are no-risk rewards for the private sector. Failure does not affect companies, with services and contracts handed back, even when they fail to deliver, having already extracted their profit. The Government take a hard line against the poorest in society, with stringent rules, benefit sanction regimes and limits on social security. However, when it comes to billions of pounds of public contracts, they allow the taxpayer to be exploited and systematically milked. Frankly, it is not acceptable.

If the law does not allow the Government to hold failing companies accountable, we must legislate and change the law. I believe that we need a corporate responsibility Bill—a Bill with teeth—to ensure that the Treasury is the guardian of public money, not a cash point for corporate greed and irresponsibility. Our water companies are the epitome of corporate greed and irresponsibility. As an industry, they have extracted immense profits while ramping up debt and failing to invest in order to end the dumping of raw sewage into our rivers and seas. Where is the risk? It lies not with these irresponsible companies, but with the taxpayer. When a company collapses under the weight of its debt after decades of underinvestment, who has to step in? The taxpayer, who is forced to clean up the mess of corporate irresponsibility and get these services up and running to an acceptable standard, only for a Conservative Government to sell them off again.

I am deeply sceptical. Water is privatised, with companies collecting their rewards and paying out dividends. However, there is no free market; there is a private monopoly. As a consumer, I am appalled that, at the first sight of rain, our local network hits peak capacity and sewage is dumped into our rivers and seas. I want to penalise water companies that fail to protect our environment. If their business is clean water, the product of our privatised water companies is defective.

The Government can continue to back corporate greed over public interest and maintain an indefensible system of privatisation that denies the public consumer choice, which is the ultimate tool of accountability. But I hope the Minister will explain to my constituents how he will deliver a zero-waste, zero-pollution policy and end the routine dumping of raw sewage on the east Durham heritage coastline.

[The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Robbie Moore)]

I thank the hon. Member for Easington (Grahame Morris) for securing this important debate and welcome the opportunity to respond to some the points he has made. As we all know, our waterways are a precious resource and their management is something on which this Government have been leading the way, in taking incredibly serious action against those who pollute. In April 2023, the Government introduced our “Plan for Water”, which marks a step change in how we manage our waters. This will deliver more investment, stronger regulation and tougher enforcement to tackle pollution and clean up water. The Government have also set stringent targets to tackle sewage spills, prioritising bathing waters and sites of special scientific interest just like the Durham coast SSSI.

To improve our waterways, the Government are clear that we need to hold to account robustly those who pollute, including our water companies, as customers rightly expect us to do. Yesterday we announced that we are significantly increasing our oversight of the water industry. Every water company should expect their waste water treatment sites to be regularly inspected, which includes unannounced inspections. The number of inspections will rise to 4,000 by the end of March 2025, which is a 370% increase.

Also, on 12 February the Environment Secretary announced that Ofwat will be consulting on banning water bosses receiving bonuses if a water company has committed a serious criminal breach. Ofwat will take forward a consultation to define the criteria for a ban, which could include the prosecution of a category 1 or category 2 pollution incident—such as causing significant pollution at a bathing water site location or a conservation area—or where a water company has been found guilty of a serious management failing. The ban would apply to all executive board members and the chief executive who sits on that board, and we expect it to come into effect later this year. The Government are clear that no one should be rewarded for a serious criminal breach while managing and operating a water company, should that serious breach take place on their watch. This builds on Ofwat’s announcements last year to tighten restrictions on bonuses, using powers given to the regulator through the Environment Act 2021.

Let us be clear: tougher enforcement requires more monitoring. To ensure that robust action is taken, we are holding the water industry to account on a scale that has never been seen before. This Government are driving up monitoring and transparency to ensure that the public can see what is going on, and this starts with monitoring. This Government have achieved 100% monitoring of England’s storm overflows, which is a vast improvement on the just 7% of storm overflows that were monitored under Labour in 2010. This is a major step forward in protecting our precious water bodies as well as the communities and wildlife that rely on them. Meeting this target is a significant achievement in creating positive environmental change and an ability to hold to account the water companies that pollute.

Regarding Northumbrian Water, the water and sewerage company servicing the east Durham area, I am aware that no serious pollution incidents were recorded in 2022 or 2023. However, I am aware that there has been a concerning increase in the number of pollution incidents that have taken place over a longer period. Since January 2015, Northumbrian Water has faced three prosecutions and a total of £807,000 in fines from the Environment Agency. The most recent prosecution followed two consecutive days in March 2017 of raw sewage being released from manhole chambers in Bishop Auckland, which was completely unacceptable. Northumbrian Water is one of six water companies with live cases for potential failures at sewage treatment works that may have led to unpermitted sewage discharges into the environment. I am happy to meet the hon. Member if there are other matters that he wishes to raise.

[Grahame Morris]

I thank the Minister for his response but, in terms of serious notifiable incidents, there were 184 sewage discharge water alerts in 2023, which is a huge number. I am not sure of the established definition of “serious”, but what is his view of the level of dividends being paid and of the business plans being operated by Northumbrian Water and, presumably, other privatised water companies? They are securitising assets, including Kielder Water, the biggest reservoir in western Europe, and using the proceeds to pay shareholder dividends, rather than to repair infrastructure. What is his view on that?

[Robbie Moore]

The hon. Gentleman will have noted what I said about wanting to tighten up the bonuses paid not only to chief executives but to executive board members. Earlier this year, the Government announced tighter measures, relating specifically to environmental performance, for Ofwat to be able to challenge dividends.

Last year, to tackle storm overflow discharges, we updated our storm overflow discharge reduction plan, which sets stringent targets to reduce storm overflows. It prioritises action on overflows that discharge into ecologically sensitive sites such as SSSIs, areas of outstanding natural beauty and bathing waters. It will also drive water companies to deliver their largest ever infrastructure programme, an incredible £60 billion over the next 25 years. We are already seeing many water companies accelerating their investment in increasing the assets they oversee.

Moreover, I am aware that there are three designated bathing waters on the County Durham coastline in the hon. Gentleman’s constituency: Seaham Hall, Seaham beach and Crimdon. Substantial improvements have been made to English bathing waters in recent years. Almost 90% of designated bathing waters in England met the highest standards—good or excellent—in 2023, up from 76% in 2010, and that is despite stricter standards being introduced in 2015. These bathing waters are routinely monitored by the Environment Agency during the official bathing water season from May to September.

In 2023, two of the bathing water sites in the hon. Gentleman’s constituency were classified as good, and all met the minimum standard of sufficient. However, I recognise that two had deteriorated from the previous year’s classification. The Environment Agency will investigate the reasons for that deterioration in the region’s bathing water.

We are working closely with Ofwat and the Environment Agency to ensure that they have the tools and resources they need to hold water companies to account. We have provided an extra £2.2 million a year to the Environment Agency specifically for water company enforcement activity. Furthermore, in May 2023 Ofwat announced that its enforcement capacity will be trebled following the Government’s approval of an £11.3 million budget increase.

We have legislated to introduce unlimited penalties for water companies that breach their environmental permits, and to expand the range of offences to which those penalties can be applied. For the avoidance of doubt, this includes criminal.

In our “Plan for Water” we announced the water restoration fund, which will channel environmental fines and penalties collected from the water companies into projects that improve water environment. Further details of the water restoration fund will be announced.

This Government are going further and faster than any Government to protect and enhance the health of our rivers and seas. We expect water companies, including Northumbrian Water, to use the next five-year price review period, PR24, to set bold and ambitious plans to deliver for the people and the environment. That means security of supply, cleaner rivers and beaches, fewer leaks, fewer supply interruptions, greater water resilience—so that we see a fit future for our rivers and coastal environment—and substantial improvements to tackle storm overflows. In turn, this investment will boost economic growth and create more jobs.

Draft Wine (Amendment) (England) Regulations 2024

Grahame Morris Excerpts

Wednesday 17th January 2024 General Committees

[The Minister for Food, Farming and Fisheries (Mark Spencer)]

I beg to move,

That the Committee has considered the draft Wine (Amendment) (England) Regulations 2024.

It is a pleasure to serve under your chairmanship, Mr Gray. The regulations were laid before the House on 4 December. The Government are taking this necessary step to take account of obligations relating to the marketing of wine in the comprehensive and progressive agreement for trans-Pacific partnership—or the CPTPP, as Members will know it—following the UK’s signing of the protocol of accession.

The instrument introduces rules governing how products marketed as ice wine must be produced. Ice wine is a type of dessert wine produced from grapes that have been frozen while still on the vine. Currently, ice wine is not produced domestically, but it is imported. Annual global production is very small, but it can yield high-quality wines that sell at premium prices. Therefore, it is important to ensure that products marketed as ice wine are marketed correctly, to support consumers in their choices.

The instrument applies the relevant restriction in England only. Separate instruments applying to Scotland and Wales are being made for the purpose of continuity, so that the same restriction applies across Great Britain and enables CPTPP accession. This type of imported wine will continue to be able to move from Great Britain to Northern Ireland via the Northern Ireland retail movement scheme under the Windsor framework.

The instrument will also update the list of oenological practices, processes and restrictions that may be used in the production and conservation of wine in other wine products. The changes are highly technical in nature and relate, for example, to the use of discontinuous high-pressure processes, which reduce yeast contamination in wine and therefore the reliance on sulphites to preserve wine and help to improve its fermentation. I am told that reducing sulphites also means that you are less likely to have a headache the next morning.

The Scottish Government have made the same changes, and the Welsh Government are in the process of doing so. That will ensure that producers across Great Britain benefit from the latest technological developments and winemaking practices.

[Grahame Morris (Easington) (Lab)]

The legislation we are dealing with refers to marketing. In this post-Brexit period, will these things be marketed by the pint?

Water Companies: Executive Bonuses

Grahame Morris Excerpts

Tuesday 5th December 2023 Commons Chamber

[Grahame Morris (Easington) (Lab)]

I am really pleased to speak in a very important debate for me and my constituents. The east Durham coastline is a huge asset to the region and to the country. From Seaham to Blackhall, I represent the most stunning coastline in Great Britain. We have amazing beaches, with an abundance of sea glass, sand dunes and limestone caves. Our seas are home to a formidable group of open water swimmers, braving the North sea at all times of the year. Our marina at Seaham provides access to various water sports, including canoeing, paddleboarding and windsurfing. Crimdon Dene visitor hub and café is encouraging more people to visit and enjoy our east Durham coastline.

On the sea front and the clifftops of east Durham, there is also an array of art, iconic locations and national heritage. Seaham has a newly decommissioned field gun, a further attraction, and is home to Tommy, a Ray Lonsdale world war one sculpture, an artwork that was voted the Sky Arts No. 1 public artwork and attracts a large number of people to our coastline. From Easington, the site of the former colliery, the views stretch from County Durham to North Yorkshire.

A nature reserve sits at the centre of the once thriving industrial heart of the community, and it is also the site of a memorial garden that honours the 83 miners and rescuers who lost their lives in the terrible disaster at Easington colliery in 1951. Blackhall is another site of special scientific interest. The wildflowers and grass of the clifftops offer peaceful views, with easy access to Blackhall’s beach caves. The coastline is also home to a unique music and film heritage. My constituency was the backdrop to the iconic “Who’s Next” album cover and the location for a number of films, including “Get Carter”, “Billy Elliot” and, most recently, “The Old Oak”.

That is why I am passionate about protecting our precious coastline. Industrial spoil from coal mining once blighted it and the beaches were blackened with coal dust and abandoned colliery infrastructure, but we reclaimed the coastline for nature. The “Turning The Tide” project removed industrial pollution from the east Durham coastline, and the improvement has made the environment more enjoyable for everyone.

Coal spoil was once a visible scar on the environment, but water pollution represents a more insidious and more discreet risk to our health, welfare and environment. I was interested by the Minister’s comments about personal injury, because water pollution hit the headlines recently when we had the ironman world triathlon championship series at Sunderland. There are three elements to the event, cycling, running and swimming, and after the swimming element, 88 of the athletes fell ill from swimming in waters contaminated with E. coli. I do not know what redress there was for personal injury, but we know the source of the problem.

Northumbrian Water, once a publicly owned authority but now under Chinese ownership, pollutes our seas whenever it rains. I looked yesterday at the Safer Seas & Rivers Service app, which I recommend to all hon. Members; we have had some terrible weather in the north-east, and as the snow thawed Northumbrian Water was polluting our seas at three sewage overflows in my constituency. That is just one of 164 incidents of Northumbrian Water dumping raw sewage in my constituency.

[Neil Coyle]

My hon. Friend is making a powerful point about degradation. The Minister seemed to suggest that her Government were revered for their work on this issue. Do his constituents share my constituents’ view that, on the contrary, this is a Government of the effluent for the effluent?

[Grahame Morris]

What an excellent intervention, if I may say so. The suggestion that things are getting better is not the experience of my constituents—and as for the Minister’s commitment to addressing the issues, my feeling is that she is simply going through the motions.

We need a solution. I am an old-school socialist. Clean water, rivers and seas are very important, and private water companies have failed in their duty of care. Those companies enjoy a privileged position: no competition, a weak regulator and a compliant Government. I want to end those private monopolies—we should control and run water in the national interest—but I am a realist: the Tories and my own party do not have the appetite for nationalisation, so I will propose an alternative.

Private water companies have extracted huge dividends since privatisation, which they have secured through higher bills and a failure to invest, and by ramping up debt. In December 2022, The Guardian reported that water companies have paid £69.5 billion in dividends. Over the same period, they have racked up £54 billion in debts. Companies promise to invest in infrastructure, but only by passing on higher costs to consumers. Why do we accept water companies ripping us off, polluting our waters and telling us to pay to clean up their mess? The Government must take control of the situation.

I support the following: the Government must block all future dividend payments until water companies meet set standards including clean water targets, debt targets, investment targets and low consumer bills; we need a zero dumping policy—sewage overflows must be an exception, not the normal practice; we need a sustainable water industry, which means an end to the practice of borrowing in order to pay dividends; and new and modern infrastructure must be prioritised before dividends.

The promise of privatisation is always better service and lower costs, but we have seen worse service and higher bills every time. Private companies are driven by profits. The proposals that I have set out are a means of delivering the public interest. Dividends and profits should be awarded only when private companies deliver the promised services. If we cannot spend in the next Parliament, we need to regulate and reform. If privatised water is to remain, we must ensure that it works and benefits the people we all represent.

Draft Wine (Revocation and Consequential Provision) Regulations 2023

Grahame Morris Excerpts

Monday 4th December 2023 General Committees

[The Minister for Food, Farming and Fisheries (Mark Spencer)]

I beg to move,

That the Committee has considered the draft Wine (Revocation and Consequential Provision) Regulations 2023.

It is a pleasure to serve under your chairmanship, Mr Stringer. The regulations were laid before the House on 25 October. I am proud to support our thriving wine market, which is one of the largest in the world and which had a total value of over £11 billion in 2022. The Government want to provide a regulatory landscape that enables the wine industry to be as innovative and productive as possible.

With this statutory instrument, the Government seek to take advantage of leaving the European Union. For the first time in decades, we can set our own wine regulations. We are therefore delighted to take the first historic step in providing flexibility for our wine industry. This instrument brings welcome flexibilities on how wine can be produced and labelled. These reforms are pragmatic and respond to calls for change from the wine industry.

First, the instrument will amend importer labelling requirements by removing the requirement that imported wine must show the prefix “importer” or “imported by” before the address of the business responsible for importing the wine to England. Doing so will apply general food law to wine labelling, and the intention is that the change will reduce the need for winemakers and bottlers to have separate labels for the UK and EU markets. That will reduce costs and remove administrative burdens.

The second change removes a restriction on new applications for wines with a protected designation of origin. That will enable new wines with a protected designation of origin to be produced from any permitted grape variety or hybrid variety, rather than just from the species Vitis vinifera. The change will ensure that our domestic wine sector increases resilience in the face of climate change and diseases.

Thirdly, the instrument will allow producers in England the scope to produce and sell piquette—a beverage produced by adding water to grape pomace, which is then fermented. That is an exciting and interesting opportunity, which the Government wish to offer our wine producers.

The Government will continue to support the already thriving wine industry by enabling the blending of imported wine in England. That will enable the wine industry to blend different varieties of wine from the same or different origins, including wines from third countries, to achieve greater consistency in its products and to create entirely new products that respond to consumer tastes. The Government are delighted that the measure also offers the prospect of more British jobs in English wineries and bottling plants.

The instrument will remove the mandatory requirements for foil caps and mushroom-shaped stoppers to be used in marketing sparkling wine. It will also remove the wine certification scheme in GB. The Government opposed the policy as a European Union member. Now that we have left, we can seize the opportunity to remove that pointless burden.

[Grahame Morris (Easington) (Lab)]

I thank the Minister for that explanation. There is general acceptance that this is a positive measure. I was just reading the briefing note from the Wine and Spirit Trade Association, and I did not realise that we are the second biggest importer of wine in terms of quantity—we import 1.3 billion litres—and the 12th largest exporter. I looked through the impact assessment, but what impact will the bottling of blended wines have on employment? Will it be a positive as a result of this legislation?

[Mark Spencer]

We are really hopeful that it will be a significant positive and give flexibility to wine blenders here in the UK. It will also allow them to improve the quality of what they sell in UK markets and around the world. We very much hope that it will give the industry the freedom to be flexible and to respond to consumers’ changing tastes at the same time.

--- Later in debate ---

[Mark Spencer]

To be clear, absolutely not. We will not have products that are regulated differently, but we will have an industry that is regulated differently in terms of blending. It will be possible for a winemaker in Cambridge to blend a wine in Cambridge and to sell it throughout the United Kingdom—it will still be possible to sell Cambridgeshire wine in Cardiff and Edinburgh—but it will not be possible for someone to blend a wine in Cardiff and to sell it in Cambridge. However, we hope our friends in Wales and Scotland will catch up.

The hon. Gentleman asked some specific questions about labelling, and it is important to get across that it is fundamental to these changes that the consumer is not misled, and nothing in them will mislead consumers. People will have to be absolutely clear. It will not be possible for me to buy in some Australian wine, blend it with three grapes from Sussex, bottle it in Nottinghamshire and call it Nottinghamshire wine. Clearly, that would be misleading, which is not permitted under these regulations. We must be clear about the percentages, the blends of grapes being used and the origin of the wines.

That is all clear for those who are doing it, but the regulations do give importers flexibility to blend different varieties and types of wine to maintain a standard product throughout different seasons, because wines can change, and they can also change in transport.

[Grahame Morris]

I am grateful for that explanation, but I support the points made by my hon. Friend the Member for Cambridge on the Labour Front Bench. It would be in everyone’s interests to have a clear system of labelling, particularly when half the wines we import are bulk wines that are subsequently blended. Is there a particular point of contention with the Scottish Parliament and the Welsh Assembly? Is there a particular issue that is concerning them?

[Mark Spencer]

I am not aware of any specific concerns; I think it is more a question of timing. I do not want to imply any criticism of the Scottish or Welsh devolved Administrations, because positive conversations are taking place, and I am sure Scotland and Wales will get to these regulations in time. There is a much more established wine sector in England—certainly on the south coast—so it is probably a higher priority for the UK Government to facilitate these changes in England. That said, there is quite an established wine sector in Wales, which I am sure the Welsh Government will want to support as we move forward. However, the conversations remain positive and constructive, and I am sure any issues will be resolved in due course.

With that in mind, Mr Stringer, I ask the Committee to support the regulations, and I shall cease to speak.

Question put and agreed to.

Sewage Discharges

Grahame Morris Excerpts

Wednesday 12th October 2022 Westminster Hall

[Grahame Morris (Easington) (Lab)]

It is a pleasure to serve under your chairmanship, Ms Elliott, and I congratulate the hon. Member for Bexhill and Battle (Huw Merriman) on securing this excellent debate. It is really important, and I thought he made an exceptional start.

I want to make three points. It is not really possible to articulate an argument in the time available, so I will just go through the motions. I want to mention the problem, the impact and the fundamental flaw in the water industry. The excellent Rivers Trust sewage monitoring data for 2021, which is available on the website, highlights 5,115 hours of sewage discharges in my constituency alone. That is the equivalent of 213 days of continuous sewage discharges. When sewage is dumped on 213 days out of 365, that is not an exceptional event but a persistent problem.

My constituency is fortunate because we have the east Durham heritage coast, and east Durham is home to a thriving wild swimming community. Seaham Seaside Swimmers is a local network with many hundreds of members who are passionate about health and wellbeing. Those who participate in that activity are aware of the Safer Seas and Rivers Service app, and last year there were more than 119 pollution alerts from the three combined sewage outlets in my constituency. We really must do better, and we look to the Government and the regulator to do so.

Oral Answers to Questions

Grahame Morris Excerpts

Thursday 8th September 2022 Commons Chamber

The hon. Member for South West Bedfordshire, representing the Church Commissioners was asked—

[Grahame Morris (Easington) (Lab)]

4. What progress the Church has made on the review of lessons learned at Holy Trinity Church, Wingate.

[The Second Church Estates Commissioner (Andrew Selous)]

This has been a deeply troubling time for the Bell family, and I want to pass on my heartfelt apologies for what has happened. I am pleased that the issue has been resolved and the lessons learned process begins next month, and I know that the vicar of Holy Trinity Wingate has strongly supported the family during this difficult time.

[Grahame Morris]

May I place on record my thanks to the hon. Member for his assistance with this matter during the recess?

I can report to the House that Thomas Bell’s coffin has been located, and that his late wife Hilda was buried with him after a heartbreaking eight-week delay. Appallingly, however, for 17 years the family—who were my constituents, living in Easington—unknowingly attended the wrong grave, and in the process of locating Mr Bell’s coffin several other errors were identified. Does the hon. Member agree that we need to improve burial records, with digital copies, introduce a new process for marking plots after burial, and draw up rules for the orderly organisation of plots in churchyards?

[Andrew Selous]

The hon. Gentleman is absolutely right: record-keeping is incredibly important. The Parochial Registers and Records Measure 1978 clearly states that records should be kept in fireproof places, and the hon. Gentleman’s point about digital copies was also well made. The lessons learned inquiry will focus on best practice for all parishes. Let me add, on a personal note, that I was very pleased that Mrs Bell’s great-grandchild was baptised in the church last weekend.

Animal Welfare (Sentience) Bill [ Lords ]

Grahame Morris Excerpts

Committee stage
Thursday 10th February 2022 Public Bill Committees

[The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Jo Churchill)]

It is a pleasure to serve under your chairmanship, Sir Charles. The clause requires the Government to create and maintain the Animal Sentience Committee. The committee will be at the core of the Bill’s targeted, proportionate and timely mechanism for holding the Government to account on the consideration of animal welfare.

On Second Reading, it was asked why the committee needs to be established in legislation and why the Animal Welfare Committee could not fulfil the function outlined in the Bill. The fundamental purpose of the Animal Sentience Committee is to support Parliament’s scrutiny of the Government’s policy decision-making process. The committee is not there to advise or make decisions for Ministers. Instead, it will perform a valuable role in encouraging us to make sure we have properly considered the effect of policy on the welfare of animals. Creating the committee and placing it on a statutory footing is the best way of ensuring that the Bill’s recognition of animal sentience is given meaningful but proportionate effect.

[Grahame Morris (Easington) (Lab)]

I think the Committee is at one in wanting to ensure that we have adequate protections for animals. That has been supported in the petitions and the written evidence. Will the Minister clarify one point on human-relevant science? I am involved with the all-party parliamentary group on human-relevant science, which was established to ensure that alternatives are provided to testing on live animals, particularly in vitro, using cell cultures and so on. Does that fall within the purview of the Bill?

[Jo Churchill]

The point of the new committee is not to make value judgments. It is to scrutinise legislation to ensure that all due regard is taken of the welfare of animals. Such decisions are for the committee to determine, supported by the secretariat.

Creating the committee on a statutory footing will mean that it must act within the legal parameters set by the Bill. The Bill is clear that the committee has no power to make value judgments—these decisions are for Ministers. At the same time, the obligation placed on Ministers to respond to the committee’s report is essential for transparency and for the scrutiny of the Government’s policy decision making. Ministers do not have to accept the committee’s findings and recommendations, but they have an obligation under the Bill to respond to them promptly and openly.

--- Later in debate ---

[Grahame Morris]

My hon. Friend is making an excellent point, Mr Walker. I believe, Sir Charles, that you were part of the Procedure Committee which created opportunities for Commons Select Committees to make statements and answer questions in the House, which is a welcome development. The amendment is sensible, as are all of the suggestions from the Opposition Front Bench. I hope the Minister will give it sympathetic consideration; I think there is a lot to commend it.

[Daniel Zeichner]

I am grateful to my hon. Friend. By definition, all Opposition Front-Bench amendments are sensible—I will tell you the ones that are not later. My hon. Friend, too, brings great experience on this, and he makes an important point. Those of us who have gradually begun to understand parliamentary procedure over the process of being here know that he is right; proper consideration of Select Committee reports in the Chamber does make a real difference. That is what we are trying to get at with the amendment.

I hope, despite the nature of this debate, that Ministers will go away and think about this point. We have noticed that there are very real differences of opinion on the Conservative Benches on this issue. I think the amendment would give voice to some of the staunch critics of the Bill. I do not think some of them understand it entirely, but I think it might settle some of their concerns if they knew they had the opportunity to raise them in this way. As the Better Deal for Animals coalition said in their briefing to parliamentarians:

“Criticisms of the Bill during its passage to date appear to have been based on a misunderstanding of the role of the Animal Sentience Committee.”

Members will be surprised to hear that I am on the side of the Minister on this point, because I agree that it should be reiterated that the new Committee will not have the power to amend or bring about new legislation. It cannot compel the Government to take any particular course of action. I understand the points the Minister is making, and I am not sure that everyone who has taken part in this debate has fully appreciated that.

The amendment would provide an opportunity for Members of both Houses to provide input and scrutinise the Government’s success in weighing up competing demands and, crucially, their success in considering the sentience of animals. For the Bill to have any real impact, we believe that Members must have a proper opportunity to scrutinise the Government’s response to the Animal Sentience Committee’s reports. Going back to my opening points, this could so easily be just another committee. Unless it has power, it will not work, and that would mean that sentience had not been carried across in the way that many people believed it to have been.

The amendment would only strengthen and further the claimed aims of the Bill. If the Government oppose it, I have to say that they will reveal their true intent.

--- Later in debate ---

[Jo Churchill]

I may be wrong, but I do not think that the Scottish Government determined that that should be one of the SAWC’s first acts. I reiterate: it should be for the committee to decide whether it wishes to do the same and to have a working definition. The whole tenor of the Bill is to be future-proofed.

[Grahame Morris]

rose—

[The Chair]

Order. Had you sat down, Minister?

[Jo Churchill]

I apologise, I did not see the hon. Gentleman.

[Grahame Morris]

I was caught on the horns of a dilemma there, because the Minister was answering the earlier intervention. I apologise if I missed this in the explanatory notes, but do we have any information on the composition of the committee, on the nature of the people, individuals or expert opinions who will make up the committee?

[Jo Churchill]

I refer the hon. Gentleman to the terms of reference. We do not want to be overly prescriptive about its make-up, nor do we want to be over-prescriptive in case, for example, experts were to come from the devolved nations. This is an expert committee to give sound scientific advice on which Ministers will make a decision. That is referred to clearly in the terms of reference.

--- Later in debate ---

Division 5

Ayes: 5

---

Labour: 5

Noes: 9

---

Conservative: 9

[Grahame Morris]

On a point of order, Sir Charles. I am sorry if I am asking an obvious question, but when the hon. Member for Edinburgh North and Leith says “no vote”, is that recorded as a positive abstention?

[The Chair]

It is recorded as exactly what it is. The hon. Lady could say “abstention”, for example, but it is not recorded. It does not appear in the record.

Thank you, Mr Morris, for the point of order—it was a genuine point of order and required an answer. That was actually the first one I have had in 11 years, so thank you, Ms Brock, as well.

Question proposed, That the clause stand part of the Bill.

Water Companies: Sewage Discharge

Grahame Morris Excerpts

Monday 15th November 2021 Westminster Hall

[Grahame Morris (Easington) (Lab)]

That is very kind of you, Mr Paisley. I apologise to you and other Members. I have either a trapped nerve or a pulled muscle. I just cannot bob up and down. It is very painful.

[Ian Paisley (in the Chair)]

It is very in vogue to have a bad back at the moment.

[Grahame Morris]

So long as I am either up or down, I am okay; it is getting up and down that is the problem. Thank you for calling me to speak, Mr Paisley. I express my appreciation of my hon. Friend the Member for Gower (Tonia Antoniazzi) for opening this important debate. Water companies are polluting our bathing waters, rivers and beaches. I am pleased to have this opportunity to raise concerns expressed to me by my constituents.

The right hon. Member for Basingstoke (Mrs Miller) spoke of storm overflow events. We are told that combined sewage overflows are used in extreme weather conditions. However, in 2020, water companies discharged raw sewage into rivers in England more than 40,000 times. Illegal dumping stems from water companies being allowed to self-report such spills since 2010. We simply cannot permit privately owned water company monopolies to police themselves. Professor Peter Hammond, visiting scientist at the UK Centre for Ecology & Hydrology, told Ministers:

“The evidence suggests that in the last decade, ‘early’ dumping of untreated sewage to rivers has been at least 10 times more frequent than EA monitoring and prosecutions suggest”.

I represent a coastal community in County Durham’s only section of coastline. In Durham’s current 2025 county of culture bid, the east Durham heritage coast should be a jewel. Unfortunately, despite the stream of press releases from Durham County Council’s Conservative coalition leadership declaring various environmental and ecological emergencies, repeated concerns about sewage discharges on the east Durham coast seem to have been ignored; we have seen excuses, inaction and a failure to protect public health. The lack of interest in protecting and promoting clean water on the east Durham coast by the council is a scandal. Residents using the safer seas and rivers app, pointed out by my hon. Friend the Member for Salford and Eccles (Rebecca Long Bailey) and promoted by the shadow Secretary of State for Environment, Food and Rural Affairs, my hon. Friend the Member for Plymouth, Sutton and Devonport (Luke Pollard), will realise that there have been 113 pollution alerts for the County Durham coastline so far in 2021.

Durham County Council deflects any inquiries to the Environment Agency. However, anyone watching recent interviews by Environment Agency spokespeople would be forgiven for thinking they were water company representatives rather than a public regulator.

Combined sewer overflows should be a safety valve used sparingly and only in extreme weather conditions. Instead, legal and illegal dumping of sewage seems to be standard practice and, indeed, the Government are complicit in this situation arising. I have called consistently for this essential public asset to be brought under public control. Ministers need to explain to the public why they value the private monopoly interests of water companies over the health, welfare and wellbeing of the public.

Oral Answers to Questions

Grahame Morris Excerpts

Thursday 15th October 2020 Commons Chamber

[Rachel Hopkins (Luton South) (Lab)]

If he will make it his policy to publish an annual league table to assess water companies’ performance on tackling water (a) leaks and (b) wastage.

[Grahame Morris (Easington) (Lab)]

If he will make it his policy to publish an annual league table to assess water companies’ performance on tackling water (a) leaks and (b) wastage.

[The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Rebecca Pow)]

I am back—I would like to say by popular demand, but I am not sure about that.

Water company performance data, including on leakage, is already published annually on the DiscoverWater website, and companies provide data to the Environment Agency on water losses. I encourage hon. Members to visit the DiscoverWater website.

[Rebecca Pow]

Our 2018 water conservation report sets out an ambitious target of a 50% reduction in leakage by 2050. The water companies have made progress towards this, but quite clearly, they need to do a great deal more. On water quality, in our 25-year environment plan, we aim to bring three quarters of our waters as close to their natural state as possible. However, there is clearly a great deal more to do. I have met water companies recently to rattle the cage and raise the issues. My right hon. Friend the Secretary of State is also meeting water companies soon to discuss the same issues.

[Grahame Morris]

I thank the Minister for that response, but daily losses through leakage did fall during the 1990s from 4.5 billion litres a day to 3 billion litres. That figure is still too high, and a recent report by the Public Accounts Committee stated that this reduction had been followed by

“a decade of complacency and inaction”.

Does the Minister agree that the Government are failing to hold the water companies to account over their inability to deal with this level of leakage?

[Rebecca Pow]

The hon. Gentleman raises a pertinent point, but the 2019 price review set out a £51 billion five-year investment package, and water companies committed to reducing leakage by 16% by 2025. They have definite goals and targets to do that, but they do indeed need to do a great deal more. We also have much discussion about reducing the overall amount of water that people use every day, with an ambition to reduce it to 110 litres a person. At the moment, it is about 143 litres, so there is a raft of measures in the water space that need to be tackled.