Water Industry: Financial Resilience

Khalid Mahmood Excerpts

Wednesday 28th June 2023 Commons Chamber

[Rebecca Pow]

Privatisation has enabled clean and plentiful water to come out of our taps. It has unlocked £190 billion of funding to invest in the industry. That is the equivalent of £5 billion annually, and is double what we had pre-privatisation. I am not saying that there is not still a lot of scope for improvement. I have stood at this Dispatch Box many times, as has the Secretary of State, to say that some actions of water companies are completely unacceptable. That is why we have introduced the storm overflow plan and our plan for water.

[Mr Khalid Mahmood (Birmingham, Perry Barr) (Lab)]

As two Members have said, funding and loans to the water companies are a huge issue, as that is where they have paid their dividends from. On shareholders, we have foreign investors taking huge amounts of money away from this country, and we need better fund managers who are able to assess where they put their money. They should be held accountable, too.

Ofwat has not been doing what it is supposed to do. I believe that the chief executive of Ofwat applied for a job at Thames Water. That shows what the companies are doing and how Ofwat works with them—rather than scrutinising them, people are looking for the next job. We have to stop that and stop my constituents paying more for water. They need decent water in their homes and in the environment around them. That is what we want the Government to ensure. This Tory policy has failed for years.

[Rebecca Pow]

I am not sure what the question was. We want the same things: value for customers, and clean and plentiful water. We want to hold the water companies to account. We want them to invest the money needed to deliver the right services. That is why we have a plan for water, our targets and the measures in the Environment Act. It is why the regulator Ofwat has taken all the actions I mentioned to increase the transparency of water companies and to ensure that money is not being paid out if there is any environmental impact or performance negativity.

Draft Persistent Organic Pollutants (Amendment) (EU Exit) Regulations 2022

Khalid Mahmood Excerpts

Monday 21st November 2022 General Committees

[Rebecca Pow]

I will write to the hon. Member with the detail so that we get it correct. She needs the exact details, so I will get back to her about the 2012 regulations and their treatment under the ongoing regime of the Retained EU Law Bill. I think that is the best way to leave that, so that she gets a satisfactory answer.

Of course, under the Retained EU Law Bill, we will be going through all the laws and retaining everything that needs to be retained. We will also look at whether some laws need tweaking, altering or changing, and make sure that we have a whole regime that is bespoke to us.

I thank the hon. Member for Coatbridge, Chryston and Bellshill. As he recognised, we have worked very effectively on the draft regulations across all the devolved Administrations.

I think I am going to leave it there. I thank all hon. Members who have taken part in the debate—

[Mr Khalid Mahmood (Birmingham, Perry Barr) (Lab)]

Before the Minister sits down, will she take into account all the questions asked by my hon. Friend the Member for Walthamstow and get back to Committee about them? Obviously, there has not been time to answer them all, but I hope that the Minister will address them all. She may want to refer to Hansard later to get all the details.

Sewage Pollution

Khalid Mahmood Excerpts

Tuesday 6th September 2022 Commons Chamber

[George Eustice]

It is important to distinguish between the failure of water companies to abide by their permit conditions, which is an issue and is the reason for the Environment Agency bringing multiple prosecutions on this matter—we must bring that to a speedy conclusion, seek immediate rectification and bring them back into compliance with their permit conditions—and the separate issue of the permitted use of storm overflows. That issue is about long-term investment in infrastructure, which is what our discharge plan addressed.

[Mr Khalid Mahmood (Birmingham, Perry Barr) (Lab)]

I hope you will excuse me for being slightly political on this matter, Mr Speaker. The Secretary of State continues to talk about the discharges and how he is trying to catch up with the water companies, but the reality is that we should be surcharging the water companies for the continuous abuse of our rivers, streams, play areas, seas and everywhere that this gets into. It ruins our environment for our rivers and our streams. If he wants to deal with this, he should surcharge the companies. If they cannot pay the surcharge, he should bring this back into public ownership—that is the answer to all of this.

[George Eustice]

As I said, we have brought many prosecutions since 2015 and levied fines of about £140 million on the industry. In one case, that precipitated a change in ownership of a water company. The right thing to do is bring prosecutions where a company is in breach of its permits, and that is what the Environment Agency is doing.