Thursday 31 January 2019 / 2:41 PM Sue Hayman

Only three out of seventeen water companies get approved by Ofwat – Sue Hayman

Sue Hayman MP, Labour’s Shadow Secretary of State for Environment, Food and Rural Affairs, commenting on Ofwat’s decision to approve only three water companies’ business plans for new pricing, said:

“That only three out of seventeen water companies’ business plans got the green light from Ofwat shows just how privatisation is failing customers as well as failing to invest in infrastructure to cut water and carbon use.

“In the past ten years £1.8bn has been paid out in dividends and billions more has been lost through leaky pipes while water bosses receive bumper pay packets. The public want to see fairer bills and more investment in infrastructure to prevent wasteful leaks.

“Labour has a plan to bring water companies back into public ownership and make people rather than private profit the priority.”

Ends

 

Note to editors:

  • Ofwat’s 2019 PR report found:
    • Only three out of seventeen water companies received the green light from Ofwat after presenting their pricing plans
    • Ten companies were told that their plans needed “material intervention in order to protect their customers’ interests”.
    • Four companies’ plans fell “well short of the required quality and need extensive material intervention”.
    • Significant concerns were raised about a lack of support to customers in paying their bills, affordability, leakages, high costs. In some cases, Ofwat has said companies’ costs are 10 or even 20% above efficient and justified costs.

Source: https://www.ofwat.gov.uk/regulated-companies/price-review/2019-price-review/initial-assessment-of-plans/