§ Mr. Nicholas Bakerasked the Secretary of State for the Environment if he will review the agency agreements between water and local authorities under the Water Act 1973, whereby some district councils retain sewerage functions.
§ Mr. MoynihanFollowing a review by the Monopolies and Mergers Commission, the statutory basis of these agreements was changed by section 6 of the Water Act 1983. We have since decided to privatise the utility functions of water authorities, and it is inconsistent with the aims of privatisation for local authorities to continue to have the presumptive right to act as sewerage agents. Our proposals for the future of these agreements were set out in a consultation paper in November 1986. I am placing copies in the Library of the House.