Lib Dems plan to block taxpayer money for water companies unless they commit to end sewage discharges
EMBARGO: Immediate release
Liberal Democrat MP slams “a blank cheque written with taxpayers’ money to fund polluting, profiteering firms”.
Today, the Liberal Democrats are seeking to ensure the Government’s new Infrastructure Bank does not invest in water companies unless they produce a costed and time-limited plan to end sewage discharges into local rivers.
MPs will vote on a new Bill which would enshrine into law the UK Infrastructure Bank. Liberal Democrat MP Richard Foord has tabled an amendment to ensure strict sewage discharge conditions are placed on water companies before they can receive funds from the proposed Infrastructure Bank.
The Liberal Democrat MP slammed taxpayers' funds going to water companies as “scandalous”, amid water companies paying their executives millions of pounds in bonuses, while permitting voluminous sewage discharges.
Analysis of Companies House records by the Liberal Democrats found that the twenty-two water bosses paid themselves £24.8 million, including £14.7 million in bonuses, benefits and incentives in 2021/2022. This is despite destructive sewage discharges in rivers and on seafronts, harming both wildlife and swimmers.
Liberal Democrat MP for Tiverton & Honiton Richard Foord said:
“It would be a scandal if taxpayers’ money was given to the same firms that continue to poison our rivers and coastlines.
“Without adding strict sewage conditions to the bill, it will be a blank cheque for taxpayers’ money to fund these polluting, profiteering firms.
“These are the very same water companies that line their executives’ pockets with bonuses worth millions of pounds. Now they expect public money to bail out the companies and patch up the leaking pipes they’ve long neglected.
“My own constituency has suffered from regular sewage gushing onto beaches and into our rivers. Until that stops, the Government shouldn’t be throwing taxpayers’ money at water companies.”
ENDS
NOTES TO EDITORS
Text of amendment:
Clause 2, page 1, line 14, at end insert
“, and (c) to improve water quality in the UK.”
Member's explanatory statement: This amendment would add improving water quality in the UK to the Bank’s objectives.
Clause 2, page 1, line 22, at end insert—
“(4A) The Bank may only provide any of the support listed in subsection (4) to water companies if they have produced a costed, time-limited plan demonstrating they are committed to preventing discharge.”
Member's explanatory statement: This amendment would require water companies to have a costed, time-limited plan, demonstrating they are committed to preventing discharges before they can receive investment from the UKIB.
Analysis of water company annual returns by the Liberal Democrats:
Water & Sewage Company Executive Remuneration 2021/22 | |||||
Company | Number of Execs | Base Pay | Bonuses, Benefits and Incentives | Pension | Total Exec Remuneration per Company |
Anglian Water | 2 | £934,265 | £1,182,959 | £106,572 | £2,223,796 |
Northumbrian Water | 1 | £384,000 | £222,000 | £42,000 | £648,000 |
Severn Trent Water | 2 | £1,209,200 | £4,508,800 | £221,300 | £5,939,300 |
Southern Water | 2 | £737,300 | £1,437,900 | £123,600 | £2,298,800 |
South West Water | 2 | £410,000 | £788,000 | £54,000 | £1,252,000 |
Thames Water | 4 | £1,544,000 | £1,522,000 | £174,000 | £3,240,000 |
United Utilities | 2 | £1,189,000 | £2,807,000 | £222,000 | £4,218,000 |
Wessex Water | 4 | £981,000 | £726,000 | £186,000 | £1,893,000 |
Yorkshire | 3 | £826,000 | £1,143,000 | £84,000 | £2,053,000 |
Dwr Cymru / Welsh Water | 2 | £595,000 | £394,000 | £130,000 | £1,119,000 |
Total (England + Wales) | 22 | £8,809,765 | £14,731,659 | £1,343,472 | £24,884,896 |
