Category: water ownership

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.