Water UK is warning that a Government-owned and operated water sector would be competing for spending with hospitals and schools and questioning whether Ministers would prioritise spending on water in those circumstances.
The organisation which represents all the UK water companies was responding to Jeremy Corbyn's call for the water companies to be brought back into public ownership in a speech at the GMB union’s 101st annual congress in Brighton yesterday.
The Labour leader has signed up to the GMB’s Take Back the Tap campaign to renationalise the water sector and condemned what he described as the “failed and unpopular experiment’ of privatisation
The six pledges forming the 'Take Back the Tap' campaign are:
1. No worker will be worse off including those in workplace share schemes
2. Safeguarding or improving pensions to provide dignity and security in retirement
3. Greater investment in the industry's infrastructure and equipment
4. Increased staffing levels and insourcing of contracted workers
5. Improved health and safety with worker involvement in establishing new safety standards
6. Valuing collective bargaining and trade union involvement in decisions affecting workers before and during public ownership
Jeremy Corbyn told delegates at the GMB Congress:
“The privatisation of water has been a failed and unpopular experiment. It’s been bad for workers in the industry and bad for bill payers. The only people it hasn’t been bad for is rich shareholders.
“Public ownership will deliver a better deal for workers in the industry, which is why we are fully signed up to support GMB’s six pledges for water, as well as better value for individuals and families.”
Tim Roache, GMB General Secretary said the union was delighted to have the Labour leader’s backing for GMB’s Take Back the Tap campaign, adding that “our members in the water industry tell us they are overworked, understaffed and worried about safety.”
Responding to Jeremy Corbyn’s speech at the GMB Congress, Water UK Chief Executive, Michael Roberts said:
“If the water industry was owned and run by the government it would be competing for spending with hospitals and schools, and people have to question whether they think Ministers would prioritise spending on water in those circumstances.”
“ The lack of government funding led to the water industry ending up in a poor state 30 years ago, failing to deliver a good service and damaging the environment. But since privatisation in 1989, water companies have invested around £150 billion on improvements and infrastructure, and continue to spend £8 billion to keep on improving.”
“The results are clear – a better environment, customers are five times less likely to suffer from supply interruptions, eight times less likely to suffer from sewer flooding, and 100 times less likely to have lower water pressure. The average bill is around a £1 day – and after inflation bills are at pretty much the same level since 1994. No-one has explained how taking the water industry into state ownership would maintain these high levels of investment and the excellent results for customers.”