MPs battle for cheaper water bills

2.47.04pm GMT Thu 19th Mar 2009

The Government is being pressured by Liberal Democrat MPs to bring forward changes to water bills to cut them for most South West water customers, following a further above inflation rise in bills. South West water bills, set by the water regulator OFWAT, have been far the highest in the country since water was privatised by the Conservatives in the 1980s.

Bills for South West Water customers will increase by 4.4% this year. This means that metered customers in Cornwall will see an average bill of £395 (up £10) and the average unmetered customer a bill of £697 (up £18). However with 15,000 more customers expected to switch to meters this year to cut their bill, South West Water will only actually receive a 0.9% increase in revenue.

Commenting, Matthew Taylor MP for Truro and St Austell said:

"It is clear that it is the unfair distribution of the cost of cleaning up the UK's beaches, introduced when the last Conservative government privatised water, that has caused these unfair, unaffordable South West water bills. It is essential that this government rethinks its approach to charging, to make sure that people in Cornwall and Devon are not solely responsible for cleaning beaches which benefit the whole Country.

"More immediately, the Walker Review of water pricing will publish interim recommendations shortly - the Government needs to pledge to act fast on all recommendations which will cut bills. At a time when most families are feeling the pinch, and pensioners are seeing their savings reduce, it is all the more vital that the government acts urgently to cut bills.

"In particular, a rising block tariff would cut the bill for most households, whilst only those who use excessive amounts of water and second home owners would pay more. OFWAT has now approved a trial of this system for 1000 South West Water customers. If it works, introducing this fairer system should be a Government priority.

"Meanwhile everyone who can should get a water meter fitted - this reduces bills by an average of £400 for each household. If their home is not able to have a meter fitted, customers can still ask to get an assessed charge based on metering, which can also reduce bills."