UNISON calls for action on vast water profits

<p>UNISON has called for action to curb the water industry after a new report showed that water companies are making vast profits while hitting consumers with spiralling bills.</p>
<p>The report for the union by the New Policy Institute reveals that almost a third of an average household bill (more than £100 per year) goes on profit. This compares to 9% in the energy sector.</p>
<p>Water bills have risen by 64% over the past 10 years, compared to average wages, which have risen only 28% in the same period.</p>
<p>Since water privatisation in England and Wales in 1989, household water bills have trebled, outstripping inflation, which has only doubled since then.</p>
<p>Most water companies are now owned by private equity companies, which are often foreign-owned. And despite the large profits, debt levels in the industry have risen fourfold. The government wrote off all debt at privatisation.</p>
<p>Dr Peter Kenway, director of the New Policy Institute and co-author of the report said: “The combination of opaque ownership, steady price rises and growing financial weakness should not be tolerated in an industry like water that is obviously too important to fail.</p>
<p>“Our report shows that the industry in England has big questions to answer about the deal it is offering consumers and taxpayers. It is time the government started asking them.”</p>
<p>UNISON has called for the government to instigate a root and branch review of the water industry to make sure it is being run in the public interest.</p>
<p>“Private equity firms have swooped in to grab a lucrative slice of the water industry pie. But households, taxpayers and employees are losing out. The time has come to think again, with all options on the table,” declared general secretary Dave Prentis.</p>
<p><a class=“amax-link-ConCategory-2543 amax-site-1″ href=“server.php?controller=category&amp;action=showCategory&amp;contentId=2543”>UNISON members in the water industry</a></p>