Labour would put water firms under “special measures”

Labour would put the water industry under “special measures” to end the sewage crisis, shadow environment secretary, Steve Reed, told the party’s conference in Liverpool last week.

The chief measure was powers for Ofwat to ban bonuses for water bosses whose companies pollute – Labour said executives were paid £10m in bonuses last year. Labour said the powers envisaged would have enabled Ofwat to block six bosses’ bonuses.

Other measures in Reed’s package were:

• personal criminal liability for water bosses found to have committed “extreme and persistent lawbreaking”;

• severe and automatic fines for illegal discharges; and

• forcing all companies to monitor every single water outlet.

Reed said: “The water industry and its regulatory framework are broken after 13 years of Tory government – with stinking, toxic sewage lapping up on our rivers, lakes, and seas. It is shocking that during a cost-of-living crisis, consumers are now being expected to pay the price [proposed PR24 bill rises], whilst chief executivesS are pocketing millions in bonuses.

“This Conservative government is too weak to tackle this scandal. They cut back enforcement and monitoring against water companies releasing this filth, and are now failing to prosecute bosses when they are blatantly breaking the law. Labour will turn the page on years of Conservative negligence. With Labour, the polluter – not the public – will pay. Labour will give Ofwat the powers to ban the payment of bonuses to water bosses until they have cleared up their filth.”

Sewage featured twices in the conference address by Labour leader, Sir Keir Starmer.