HC Deb 30 April 1996 vol 276 cc896-7
12. Mr. Clifton-Brown

To ask the Secretary of State for the Environment what recent representations he has received regarding the use of a pre-payment card system for the payment of water bills. [25684]

Mr. Robert B. Jones

My Department has recently received representations on the use of budget payment units, which use a pre-payment card system, from the hon. Members for Lewisham, Deptford (Ms Ruddock), for Stretford (Mr. Lloyd) and for Birmingham, Northfield (Mr. Burden) and from one charitable organisation. I am confident that the units have helped to reduce problems of water debt, as have the trusts that a number of water companies have set up to help customers who cannot pay.

Mr. Clifton-Brown

Is my hon. Friend aware that budget payment units are extremely popular with the 16, 000 customers who voluntarily opted to have them installed? is not it ironic that certain local authorities, mainly Labour, have sought to challenge the legality of the provision by water companies of budget payment units?

Mr. Jones

I agree that it is extraordinary. Not only have the units been helpful but MORI surveys have shown that 90 per cent. of customers are satisfied.

Mrs. Helen Jackson

Will the Minister make a distinction between budget pre-payment units that make payment easy and timing devices that shut off the water supply when the money runs out, thus leaving the household without a supply? Is the hon. Gentleman aware that representations have been made against the latter devices by the National Consumer Council, local authorities, the National Federation of Housing Associations and environmental health officers because those devices pose a risk to public health? Will the Minister at least ensure that the number of people whose water supplies are cut off by such devices is published alongside disconnection figures, which are generally published?

Mr. Jones

The hon. Lady ought to acknowledge that both methods are popular and voluntary. I am sorry that there is a split in the Labour party on the subject. Clive Wilkinson, the former Labour leader of Birmingham city council, said: The overwhelming view of customers in my area who have had them installed is that these units are a good thing. I have not received a single complaint about the units from customers. I do not want to see customers being denied the choice if they want to opt for one of these units.