HC Deb 02 July 1981 vol 7 cc440-1W
Mr. Wigley

asked the Secretary of State for Wales what is the average subsidy to each Welsh ratepayer as a result of the operation of the Water Equalisation Act; when he intends to discontinue the Act; and what steps he will take to ensure an equivalent subsidy for Welsh ratepayers following the discontinuation of the Act.

Mr. Wyn Roberts

The payment received by the Welsh water authority from the equalisation fund set up under the provisions of the Water Charges Equalisation Act 1977 and administered by the National Water Council averaged about £3 per household for bills in 1980–81, the last year in which the provisions of the Act were operated. No order implementing these provisions was made for 1981–82. The Government do not intend that water authorities should be subsidised, but account was taken of the loss of equalisation payments to the Welsh water authority and of the particular problems of Wales in allowing the Welsh water authority to achieve its current cost accounting financial target over five years instead of the three year period required of the English regional water authorities. It is the intention of the Government to repeal the 1977 Act as soon as practicable.

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