ENVIRONMENTAL groups called on the public today to mobilise this autumn and ramp up pressure on the government to tackle Britain’s water pollution crisis.
River Action, Surfers Against Sewage and Greenpeace are among the groups who will join the March for Clean Water in Central London on October 26.
It will mark the end of the first 100 days of the Labour government, and take place just days before Chancellor Rachel Reeves’s first Budget.
An escalating water crisis looms, driven by factors such as ageing infrastructure, lack of investment from water firms and industrial pollution.
More than 3.6 million hours of raw sewage discharges poured into rivers and seas last year — a 105 per cent increase compared with 2022.
AFTER months in which Labour argued that such is the dire state of the economy that Tory spending limits must be maintained, the Chancellor of the Exchequer now says that further cuts in public expenditure are needed.
…
The question raised by any talk about varying the structure of taxation is where taxes fall. The richest 10 per cent of families hold 43 per cent of all wealth. The bottom 50 per cent — and be sure that this includes the greater proportion of people who see themselves as working class — possess less than 10 per cent of wealth.
…
When the overwhelming majority of voters, including Tory voters, see public ownership of rail, mail, water and energy as desirable this is not simply a yearning for the more efficient delivery of these services and utilities than private ownership is able to provide. More, it is an expression of a clear understanding that revenues from these myriad transactions should not be privately appropriated but applied to the common good.
The present Labour administration has, with rare exceptions, ruled out the recovery into public ownership of privatised sectors and, less performatively than Gordon Brown in his day but no less systematically, has assured the corporate world that not only are the foundations of private ownership safe but that Labour, even more than its Tory predecessors, holds appeasing the bond markets a central part of its economic strategy. Hence the cuts announced today.
Reeves’s dilemma is highlighted by the necessity to find £1 billion to fund the juniors doctors’ pay increase; something similar for the teachers and a backlog of other public-sector pay claims.
Under this system spending is always about priorities. But there is money about. She is already committed by Starmer’s diktat to find £57.1bn in defence spending in 2024-25 which is a 4.5 per cent increase in real terms. No cuts there!
A bigger source of revenue would result from taxing wealth at the same level as income by raising the capital gains and dividend tax rates to the level at which workers pay on their wages.
An even bigger windfall would result from a socialist economy in which all rents, interest and profits arising from human economic activity were held in common rather than being privately acquired.
Ofwat is opening enforcement cases into four more water companies, meaning it is now investigating every single water and wastewater firm in England and Wales for the mismanagement of their networks and treatment.
The notices follow a what Ofwat described as a “detailed” analysis of information on firms’ environmental performance and data about the regularity of their spills from storm overflows.
The regulator believes the four firms may not be fulfilling their obligation to protect the environment and minimise pollution, meaning that it is now investigating all 11 water companies in England and Wales.
Investigations into Anglian Water, Northumbrian Water, South West Water and Thames Water, which last week was effectively placed into special measures by Ofwat, are ongoing from 2022, while Southern Water is still subject to monitoring following a case that dates back to 2019.
David Black, Ofwat’s chief executive, said: ““The fact that Ofwat now has enforcement cases with all 11 of the wastewater companies in England and Wales demonstrates how concerned we are about the sector’s environmental performance.
Responding to the publication of OFWAT’s a draft verdict on water companies’ five-year spending plans and bill increases to 2030, Green Party MP, Siân Berry said:
“We’re today calling on Prime Minister Keir Starmer to put all water companies into public hands.
“The provision of such a basic human right should not be based on profit.
“The idea that water companies will hike bills while so many people are struggling to get to the end of the month is horrific. Meanwhile, some companies, like Thames Water, are still paying shareholder dividends, which is deplorable.
“Public ownership is a matter of both social and environmental principle. But, as today’s verdict from OFWAT shows, it is also a pragmatic necessity.
“Why not take decisive action and show real leadership by saying that all water companies should be in public hands?
CHANCELLOR Rachel Reeves is right to say that steep increases in our water bills are a “bitter pill to swallow” — especially since her government could stop them if it wanted to.
Maybe its reluctance to take the obvious step — nationalisation — is linked to the lucrative rewards waiting for former ministers who play ball. After all, Water UK, the trade association lobbying for still steeper rises, is headed by former Labour minister Ruth Kelly.
Water UK slams Ofwat’s refusal to endorse its own proposed increases as “the biggest-ever cut in investment.”
…
No other country has surrendered its water to private companies in this way and it is unlikely that any will, given that the outcome here has been poisoned waterways, sewage-strewn beaches and soaring bills. Earlier this year, over half the people polled said the sewage scandal would affect their vote. It may well have driven the Tory collapse across swathes of southern and coastal England. An even higher proportion, 69 per cent, want water back in public hands.
Labour says the cost of renationalisation is prohibitive and lands the public with private-sector debt.