Category: water industry

UNISON calls on water regulator to protect customers and nature

UNISON is calling on the UK water regulator Ofwat and the UK government to stop water companies from increasing bills.

The union says that instead, there should be a focus on legislation to make companies – not the public – pay to restore the waterways to good health and protect jobs in the industry.

The water industry has hit the headlines again this week because of Ofwat’s plans to consult on banning bonuses for the bosses of water companies that have been found to have harmed the environment.

But as well as failing the environment, companies are failing customers and workers as well, claims UNISON, with several companies proposing to increase bills to fund necessary repairs and investment in water infrastructure.

Last year saw water companies consistently hitting headlines for negative reasons, including financial mismanagement, illegal discharge of sewage into waterways and leaving customers without running water – much of which can be put down to a lack of investment in infrastructure.

Yet according to analysis by the Labour Party, water company bosses have received over £25m in bonuses and incentives since the last general election. The analysis found that nine water chief executives were paid £10m in bonuses, £14m in incentives and £603,580 in benefits since 2019.

In addition, in 2023, senior executives from five of the 11 water companies that deal with sewage took bonuses. During this time, the water industry saw below-inflation pay settlements, recruitment freezes, job losses and customers facing the prospect of an increase in water bills just as households are struggling from the cost-of-living scandal.

UNISON national secretary Donna Rowe-Merriman said: “It’s obvious that the water companies in England are regional monopolies – and this model is not working for consumers or the environment.

“For years, profits in the water industry have landed in shareholder and executive pockets, and now, when infrastructure investment can’t be ignored any longer, they want customers and workers to pay the price.

“Privatising the profits and nationalising the cost is not a sustainable way to run any industry. Public ownership of the water industry is desperately needed so that the profits of this national asset benefit UK citizens and not just a small group of shareholders.”

The article UNISON calls on water regulator to protect customers and nature first appeared on the UNISON National site.

UNISON calls on water regulator to protect customers and nature

UNISON is calling on the UK water regulator Ofwat and the UK government to stop water companies from increasing bills.

The union says that instead, there should be a focus on legislation to make companies – not the public – pay to restore the waterways to good health and protect jobs in the industry.

The water industry has hit the headlines again this week because of Ofwat’s plans to consult on banning bonuses for the bosses of water companies that have been found to have harmed the environment.

But as well as failing the environment, companies are failing customers and workers as well, claims UNISON, with several companies proposing to increase bills to fund necessary repairs and investment in water infrastructure.

Last year saw water companies consistently hitting headlines for negative reasons, including financial mismanagement, illegal discharge of sewage into waterways and leaving customers without running water – much of which can be put down to a lack of investment in infrastructure.

Yet according to analysis by the Labour Party, water company bosses have received over £25m in bonuses and incentives since the last general election. The analysis found that nine water chief executives were paid £10m in bonuses, £14m in incentives and £603,580 in benefits since 2019.

In addition, in 2023, senior executives from five of the 11 water companies that deal with sewage took bonuses. During this time, the water industry saw below-inflation pay settlements, recruitment freezes, job losses and customers facing the prospect of an increase in water bills just as households are struggling from the cost-of-living scandal.

UNISON national secretary Donna Rowe-Merriman said: “It’s obvious that the water companies in England are regional monopolies – and this model is not working for consumers or the environment.

“For years, profits in the water industry have landed in shareholder and executive pockets, and now, when infrastructure investment can’t be ignored any longer, they want customers and workers to pay the price.

“Privatising the profits and nationalising the cost is not a sustainable way to run any industry. Public ownership of the water industry is desperately needed so that the profits of this national asset benefit UK citizens and not just a small group of shareholders.”

The article UNISON calls on water regulator to protect customers and nature first appeared on the UNISON National site.

UNISON condemns water firms’ attempt to increase household bills

UNISON has condemned calls from private water companies in England and Wales to increase bills to customers in order to invest in infrastructure and has reiterated its call for the industry to be renationalised.

The water industry has faced widespread criticism in recent years over the high volume of raw sewage discharges and the environmental impact on the rivers and seas – after paying huge dividends to shareholders instead of investing.

Despite funding of £56bn announced last year by the Department for Environment, Food and Rural Affairs (Defra) to tackle storm overflows – and topped up to £60bn in September this year – water companies want to increase household bills.

The companies are seeking approval from the regulator, Ofwat, to increase domestic bills by £156 a year to raise £96bn to modernise ageing infrastructure.

Only last month, the industry was ordered to pay back £114m to customers through lower bills after failing to meet key targets.

However, should the plan to increase customers’ bills be approved, it would mean that annual bills increase from 2025 to 2030 – with the general public having to pay for a situation that has been caused by the companies themselves.

Natalie Mladenovich-Haigh, chair of UNISON’s water industry sector committee, said: “Under these proposals, the public will pay for decades of profit extraction.

“Billions have been passed to shareholders while our waterways and sewage system have been starved of investment by regional monopolies and a regulator refusing to act in the public interest.

“The water companies must be renationalised. This will deliver a service that provides value for taxpayers ensuring the water needs of UK citizens are met by the public sector.”

The article UNISON condemns water firms’ attempt to increase household bills first appeared on the UNISON National site.

UNISON condemns water firms’ attempt to increase household bills

UNISON has condemned calls from private water companies in England and Wales to increase bills to customers in order to invest in infrastructure and has reiterated its call for the industry to be renationalised.

The water industry has faced widespread criticism in recent years over the high volume of raw sewage discharges and the environmental impact on the rivers and seas – after paying huge dividends to shareholders instead of investing.

Despite funding of £56bn announced last year by the Department for Environment, Food and Rural Affairs (Defra) to tackle storm overflows – and topped up to £60bn in September this year – water companies want to increase household bills.

The companies are seeking approval from the regulator, Ofwat, to increase domestic bills by £156 a year to raise £96bn to modernise ageing infrastructure.

Only last month, the industry was ordered to pay back £114m to customers through lower bills after failing to meet key targets.

However, should the plan to increase customers’ bills be approved, it would mean that annual bills increase from 2025 to 2030 – with the general public having to pay for a situation that has been caused by the companies themselves.

Natalie Mladenovich-Haigh, chair of UNISON’s water industry sector committee, said: “Under these proposals, the public will pay for decades of profit extraction.

“Billions have been passed to shareholders while our waterways and sewage system have been starved of investment by regional monopolies and a regulator refusing to act in the public interest.

“The water companies must be renationalised. This will deliver a service that provides value for taxpayers ensuring the water needs of UK citizens are met by the public sector.”

The article UNISON condemns water firms’ attempt to increase household bills first appeared on the UNISON National site.

UNISON demands Thames Water answers

UNISON’s general secretary Christina McAnea has written to two major figures in the regulation of the water industry about the reported financial mismanagement of Thames Water.

The company, which supplies water to a quarter of the country’s population, has been making headlines over recent weeks after coming under intense scrutiny over its performance and about its financial performance, including reports that it is currently £14bn in debt and on the verge of financial collapse.

Writing to the head of Ofwat David Black, the union’s general secretary asked for clarity about how the situation with Thames Water was allowed to happen and what they are doing about the issue.

She highlighted: “The privatisation of the water companies has systematically failed to deliver for the public, and UNISON is concerned that Ofwat has contributed to the current situation where our water industry is on the verge of collapse whilst under your watch.”

In calling for an urgent meeting with Mr Black, Ms McAnea added: “Everyone relies on employees in the water industry to do critical work, including emergency responses, and any collapse will have a huge impact on employees and on the public.”

Earlier this week Ms McAnea also wrote to the secretary of state for Defra, Thérèse Coffey, requesting an urgent meeting to ensure that the department will learn the lessons from Thames Water and respond accordingly to similar issues across the water industry. This is due to reports that Thames water may not be the only water company facing significant financial difficulties.

She wrote: “It’s clear now, that water companies operate regional monopolies that do not serve the best interests of the communities they serve.

“Renationalisation needs to take place urgently to protect our water security and our communities, and UNISON members must be given a guarantee that they will have job security should the company be nationalised.”

Last week, it was also reported that the government is considering bringing Thames Water temporarily back into public ownership.

Commenting on those reports, UNISON’s national secretary for water, energy and transport, Donna Rowe-Merriman said: “The regulator has been asleep at the wheel. The owners of Thames Water have borrowed billions, yet downed every drop of profit, racked up gigantic debts and rewarded the poor performance of senior directors with huge salaries.

“Profits should have no place in public services. A short-term fix to bail out Thames Water won’t be enough. The government should restore the water companies to public ownership for the good of everyone.”

The article UNISON demands Thames Water answers first appeared on the UNISON National site.

UNISON demands Thames Water answers

UNISON’s general secretary Christina McAnea has written to two major figures in the regulation of the water industry about the reported financial mismanagement of Thames Water.

The company, which supplies water to a quarter of the country’s population, has been making headlines over recent weeks after coming under intense scrutiny over its performance and about its financial performance, including reports that it is currently £14bn in debt and on the verge of financial collapse.

Writing to the head of Ofwat David Black, the union’s general secretary asked for clarity about how the situation with Thames Water was allowed to happen and what they are doing about the issue.

She highlighted: “The privatisation of the water companies has systematically failed to deliver for the public, and UNISON is concerned that Ofwat has contributed to the current situation where our water industry is on the verge of collapse whilst under your watch.”

In calling for an urgent meeting with Mr Black, Ms McAnea added: “Everyone relies on employees in the water industry to do critical work, including emergency responses, and any collapse will have a huge impact on employees and on the public.”

Earlier this week Ms McAnea also wrote to the secretary of state for Defra, Thérèse Coffey, requesting an urgent meeting to ensure that the department will learn the lessons from Thames Water and respond accordingly to similar issues across the water industry. This is due to reports that Thames water may not be the only water company facing significant financial difficulties.

She wrote: “It’s clear now, that water companies operate regional monopolies that do not serve the best interests of the communities they serve.

“Renationalisation needs to take place urgently to protect our water security and our communities, and UNISON members must be given a guarantee that they will have job security should the company be nationalised.”

Last week, it was also reported that the government is considering bringing Thames Water temporarily back into public ownership.

Commenting on those reports, UNISON’s national secretary for water, energy and transport, Donna Rowe-Merriman said: “The regulator has been asleep at the wheel. The owners of Thames Water have borrowed billions, yet downed every drop of profit, racked up gigantic debts and rewarded the poor performance of senior directors with huge salaries.

“Profits should have no place in public services. A short-term fix to bail out Thames Water won’t be enough. The government should restore the water companies to public ownership for the good of everyone.”

The article UNISON demands Thames Water answers first appeared on the UNISON National site.