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Meacher:Looking for fair system

Review of Water Charging

The Government has launched a review of the water charging system in England and Wales. The aim is to make sure that it is operating fairly. At present most households are charged on the basis of the rateable value of the property, while about 10% are charged on useage, measured by a meter.

The review will look at the charges for both measured and unmeasured systems, the future use of rateable values in unmeasured systems, and the arrangements for debt recovery. The Deputy Prime Minister John Prescott gave an undertaking to review the system last month.

Charges Must Be Fair

Environment Minister Michael Meacher announced the review in a Commons written reply. "The purpose of the review is to ensure that we have a fair and sustainable system of charging for water and sewerage services. The review will be conducted jointly by my Department and the Welsh Office, in consultation with the Office of Water Services."

He said "Water and sewerage services have to be paid for, but customers are entitled to expect that the basis on which their charges are levied is a fair one. The method of charging should have the support of customers as well as water companies."

The review will look at various methods of charging for mains water and sewerage services, including both unmeasured and measured systems. Water companies will not be allowed to base charges on rateable values after March 31 2000.

No to Compulsory Metering

Mr Meacher added "The review will consider the future use of rateable values and other possible bases for unmeasured charges, such as the use of council tax bands. It will also consider debt recovery arrangements. We have made clear our opposition to compulsory metering for essential household use of water. We will also want to look very carefully at the issues of disconnection and the use of budget payment meters for household water supplies. No one should be deprived of water because of inability to pay for it."

The level of charges, and the system of price limits will not be included in the review. The Environment Department said the Government intends to set out its proposals in the autumn, for consultation with a view to reaching decisions next year.



Diana, Princess of Wales, 1961-1997

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