§ Mr. HarveyTo ask the Secretary of State for the Environment if he will make a statement on the formula used by the water industry regulator to determine how much profit is given as returns to shareholders. [13909]
104W
§ Mr. ClappisonThe price cap system of economic regulation of the water industry places a limit on prices, rather than controlling profits or dividends. The regulator monitors the dividends paid by the regulated businesses to their group companies. It is for the group companies to decide on the level of dividends paid to shareholders.