Thames Water: Government Support

Debate between John Lamont and Emma Hardy

Thursday 3rd April 2025 Westminster Hall

[Emma Hardy]

With respect, I think that we have different interpretations of the truth. We are saying that the company can enter SA if it is insolvent. Thames Water is not at the point of insolvency. My message to the public and to people working in the company is that the company remains stable at the moment; however, as a responsible Government, we are preparing for every eventuality.

I want to talk about broader commitments to financial stability and the independent commission. For me, this debate highlights how important it is to address the financial resilience of the water sector. We are talking specifically about Thames Water, but that does not mean that everything else is a bed of roses. Some historical decisions made by companies on debt levels have left them badly financially exposed. Those decisions often coincided with moves towards more complex ownership structures and the involvement of firms with shorter-term horizons.

We recognise that the Government have an important role to play in setting a regulatory framework that encourages a stable water sector. In hindsight, many might question the 2014 changes to make Ofwat a lighter-touch regulator. The Independent Water Commission is exploring how the Government could provide the regulatory structure that most people in the Chamber recognise that we need. The call for evidence is currently live, seeking views from stakeholders on improvements that could be made to economic regulation across a number of areas. As always, we welcome contributions from everybody across the House. The call for evidence closes on 23 April, and I encourage all interested parties to respond to the commission’s questions on these topics via DEFRA’s online consultation tool, Citizen Space.

I conclude by reiterating that both the Government and Ofwat are carefully monitoring the situation with Thames Water.

[John Lamont]

I want to pick up on my point about Scotland. Some Members have been advocating for nationalisation. Does the Minister have any thoughts on that, and have the current Government looked at what is happening in Scotland? Scottish Water, by many standards, is performing even less well than Thames Water. But Scottish Water is state-owned. Its chief executive is paid £290,000. The model in Scotland is not something that I would encourage the Minister to look at—I am not saying that she is—but I would be keen to have her reflections.

[Emma Hardy]

Water is devolved, and I completely respect the autonomy of the Scottish Parliament to make those decisions. The Government have been clear that we are not looking at nationalisation, simply because of the cost, the time it would take and the legal complications. My focus is quite simply on what I can do to improve the situation that we currently face. There is a lot of consensus around looking at regulation and how effective, or not, it is at the moment, and what can be changed. That is where I have put all my focus. Nationalisation was ruled out of the Independent Water Commission; however, all other forms of ownership are allowed within the terms of reference.

It is for the companies to resolve their financial resilience issues within the context of their licence and broader statutory obligations. However, I must be clear: the Government are prepared for all scenarios across our regulated industries, as any responsible Government would be. This new Government are committed to turning around the water sector—I refer back to my 10 reasons for hope before Easter—which will be achieved through practical measures to clean up illegal sewage dumping and attracting major private sector investment to upgrade infrastructure while prioritising the interests, as we have mentioned, of customers and our beautiful environment.

Education (Guidance about Costs of School Uniforms) Bill

Debate between John Lamont and Emma Hardy

Report stage & 3rd reading
Friday 12th March 2021 Commons Chamber

[John Lamont]

I am grateful for that point, but I am not sure whether the amendment would address that concern. I do not know where all the materials come from, but having spoken to the company, I am confident that it is not only looking after its workforce but concerned about the quality and ethical production of its garments.

Border Embroideries is one of many Scottish businesses that sell their products across the UK, which remains by far Scotland’s largest and most important market—larger than the EU and the rest of the world combined. The amendments, and the Bill more generally, address the affordability of school uniforms, and I welcome what the Bill seeks to achieve. It serves the interests of children, their families and local businesses. Imposing a duty on the Secretary of State for Education to issue statutory guidance on the cost of school uniforms, to replace the current non-statutory guidance published by the Department for Education, will deliver real improvements for parents in England.

Scotland has no legislation to govern school uniform policy, which is entirely determined by individual schools. My colleagues in Holyrood are supportive of any measures to keep school uniforms affordable for parents, and I hope that Members of the Scottish Parliament will look at this Bill, and at the debates that have taken place so far, to see whether they can do anything to ensure affordability of school uniforms in Scotland.

While broadly supportive of the Bill, the Schoolwear Association, which has more than 200 members, has concerns about amendments on the issue of sole supply, where a single business is the only supplier of school uniforms to a school. Most businesses in the Schoolwear Association are small or medium-sized, and it is crucial for them to be the sole company fulfilling demand, as that allows them to build up suitable stock. Sole supply should never result in individual items being more expensive for parents, and competitive tendering should ensure good value for money. Instead of taking place at the point of sale to families, competition should occur at the point of supplier selection by schools.

The crux of the Bill, and the tension behind most of the amendments, is affordability. The Schoolwear Association has raised some important points that I believe are crucial to uphold the principle of affordability. Comments by the Minister in Committee highlighted the importance of transparent and competitive tendering processes, particularly where a sole supplier exists. Once again I congratulate the hon. Member for Weaver Vale on his success in bringing forward the Bill. It prioritises the interests of children and families, and recognises the importance of local businesses such as Border Embroideries in my constituency.

[Emma Hardy (Kingston upon Hull West and Hessle) (Lab)]

I thank my hon. Friend the Member for Weaver Vale (Mike Amesbury) for bringing this Bill forward. My involvement with this issue began after I was deeply affected by the testimony of a group of mothers at an Education Committee evidence session: they told us how the increased costs and demands of school uniforms meant skipping meals to find the money.

I have tried, Madam Deputy Speaker—I honestly have—but I simply cannot comprehend or understand for the life of me why anyone would want to try to block this Bill to help families in need. Politics is not a game. But then I also cannot understand the level of self-importance of an individual who believes they have something of value to speak on for more than an hour and a half.

Uniform dress codes are no longer about just plain, straightforward uniform, but often involve a badge, sweatshirt and dark trousers, typically also consisting of shirts, ties, blazers, PE kits indoor and out—all branded and often available from only a single supplier. The Children’s Society report “The Wrong Blazer 2018” revealed that families, on average, have to find £340 per year for each child at secondary school. That represents an increase of 7% since 2015. Parents of primary school children spend on average £255. Parentkind’s 2019 annual survey of parents showed 76% of parents reporting that the cost of sending children to school is increasing and more than half are worried about meeting that cost.

I have spoken about this before, but in some areas within the city of Hull more than half the children live in poverty. New Government figures reveal that 18,515 children in Hull were living below the breadline in March 2019—and that is before the cost of housing was taken into account. The number has been rising year on year and is up from 15,629 in 2015. That is before we even look at the impact of covid-19.

One child in 20 has been sent home for wearing incorrect uniform as a result of being unable to afford the uniform specified by the school. In some cases, children miss school altogether because either they or their parents feel ashamed of the condition of the uniform that they could not afford.

The Education Policy Institute report found that disadvantaged pupils are already over 18 months of learning behind their peers by the time they finish GCSEs. In primary schools, that gap has increased for the first time since 2007: up from 9.2 months in 2018 to 9.3 months in 2019—again, before we even look at the impact of covid-19. If Conservative Members are serious about trying to close the attainment gap, surely they will be delighted to support the Bill.

I was a primary school teacher before becoming a Member of Parliament and I absolutely support schools having a uniform, but it needs to be practical and affordable. As a parent, I know that a school uniform makes life much easier in the morning when getting children up, dressed and ready for school. But some school policies insist that parents must buy clothing from specialist shops or suppliers rather than giving them the choice of buying items at cheaper stores such as supermarkets or high street chains.

I have taken action on this locally by working with the Methodist Church to set up RE: Uniform, which asked parents to donate unwanted uniform that was then redistributed to families who wanted it. We have held giveaway events, “click and collect” events and handed out hundreds of items of uniform.

I would like to put on the record my thanks to the Methodist Church for their support with RE: Uniform, and in particular to our Methodist district chair Leslie Newton, Reverend David Speirs, Susie Steel, Kevin Appleyard, Liane Kensett, Louise Zborowski and all the volunteers. All are making a difference where it counts for families and the community in Hull.

But this is just fighting fires. The time has come to protect the millions of families in England living in poverty from further unnecessary hardship by making the guidance on affordable uniforms a statutory duty. That was promised by the Government. In reply to a parliamentary written question on 31 July 2019, the schools Minister stated:

“The Department intend to put the school uniform guidance on a statutory footing when a suitable legislative opportunity arises.”

I urge hon. Members to stop the games, stop the self-importance and seize the opportunity to make life more affordable for parents in this country.