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Water Strategy

I thank the hon. Gentleman for that comment, although I am not sure that I would use the word ““detail”” to describe the errors made in privatisation. In my part of the world, that detail is regarded as pretty fundamental. Apart from that, I agree with much of what he said. I do indeed want to turn to the discussion of practical measures, which I think the Minister is open to considering. Indeed, in last year's debate the Government confirmed that they were working with Ofwat, water companies and the Consumer Council for Water, to consider charging options and alternative tariffs, and that a working group including the Treasury, Ofwat, the water companies and the Consumer Council for Water representatives had been set up to advise on fairer charging for lower-income groups. The latest water strategy document makes a commitment to commissioning an independent review of metering and charging. The problem is that water customers everywhere will be wondering quite how many Government reviews it takes to change a water bill. It would be nice to move from reviewing to doing, and I shall make some suggestions along those lines. We have a charging system that needs a complete overhaul. That can be easily demonstrated with the examples that I have given from the south-west. Changes have taken place in the past few years in an attempt at mitigation. The vulnerable groups tariff, for example, means that people can apply to pay on a tariff that reflects average charges, or lower, if they are particularly vulnerable. However, it is too narrow in its reach. It excludes the many low-income households that have fewer than three children, or that live just above the income benefit threshold. Not only that: for those who qualify, bills are capped only to the average for the area, which in the south-west is still above what is affordable, when we consider that the families are by definition in very low-income groups and highly vulnerable. Some steps could be taken in that regard, if the Government were to work with Ofwat and the Consumer Council for Water to change views on cross-subsidy, to allow innovative tariffs to assist with affordability. For example, South West Water has argued that there would be a benefit from a national scheme funded through a levy on all bills, as happens in the energy sector, with the Warm Front scheme. Again, I do not understand why those national levies are regarded as acceptable in one sector but not in the water sector, where bills are similarly high and where the environmental issues and reduction of water use are of similar importance. Under Ofwat rules, it is very difficult to target specific groups, and the result is that the help that is available can help the multimillionaire in a penthouse as much as the single pensioner in a council house. That is to do with how the water regulation system was worked out, and also with the way Ofwat interprets it. I think that change is needed.