Water and Sewerage Charges (Hansard, 29 June 1994)

§ 8. Mr. Tyler
To ask the Secretary of State for the Environment what progress he has made in his investigation of options to reduce water and sewerage charges in the south-west.

§ Mr. Gummer
The Director General of Water Services will announce limits on future price increases for all water and sewerage companies, including South West Water, on 28 July.

§ Mr. Tyler
Can the Secretary of State confirm or deny the frequent media reports that he has made a personal bid to get £100 million from the Exchequer to assist the water charge payers of the south-west? Can he also tell us whether it is true that he has been unsuccessful in that bid?

§ Mr. Gummer
The hon. Gentleman has a closer relationship with the press, which has made those comments, than perhaps the House is aware. The last time that I met him and his friends, a wholly fictitious report of our meeting reached the press before hand. We can take it that those other reports contain the same degree of truth as his original statement.

§ Mr. Nicholls
Is my right hon. Friend aware that the hon. Member for North Cornwall (Mr. Tyler) has been wandering around the west country telling people that if water charges were based on the council tax banding, those charges would fall? Would my right hon. Friend care to remind people that if council tax banding were used as the basis for water charges, the result would be a small reduction in the bills of some people while a great many other people would face increased charges? Does he agree that the Liberals would be better off supporting the efforts that the Government have been making in the European context to bring some real relief to the hard-pressed people of the west country?

§ Mr. Gummer
My hon. Friend is perfectly right, but then the Liberals have produced all kinds of statements of that sort. When they were pressed during the European elections to say how they would achieve the end that they had in view, they could produce no feasible scheme. The difference between the parties in the south-west is that the Conservatives are seeking to find an effective answer and the Liberals are trying to gain votes.

§ Mr. Jamieson
Is the Secretary of State aware that, since privatisation, water bills in the south-west have nearly doubled? Some pensioners in my constituency are now paying 10 per cent. of their income in water bills alone. When will he stop making pious promises and give some categorical assurances to the people of the south-west that help is on its way?

§ Mr. Gummer
I hope that the hon. Gentleman will wait to hear the announcement by the Director General of Water Services—

§ Mr. Jamieson
I have been waiting for two years.

§ Mr. Gummer
The hon. Gentleman cannot have been waiting for two years because the 28 July date has been fixed for some time, and he should know that.
I hope that the hon. Gentleman will not join with the Liberals on this issue because he should realise that although considerable difficulties have been caused by the increase in the price of water in the south-west, the reason is that it has been necessary to improve the quality of the water and the infrastructure, which was left to run down under public ownership. The fact is that privatisation has made it possible to improve water services.

§ Mrs. Browning
Is my right hon. Friend aware that many single-person households believe that their water charges could be reduced with the installation of a meter? However, in the south-west, it costs £240 up front to have a meter installed—a prohibitive cost, especially when it is compared with the charge by Anglian Water of just £140. Will my right hon. Friend consider how difficult it is for such people to have a meter installed?

§ Mr. Gummer
I will certainly look at my hon. Friend's example. Anglian Water has a good reputation for the help that it has been giving. My hon. Friend will agree that, in seeking help for those with high water bills, the work that has been done by Conservative Members and the Government in the European Community has been exemplary. It would be helpful if we had a bit of support from Liberal Members.