Oral Answers to Questions

Grahame Morris Excerpts

Thursday 9th January 2014 Commons Chamber

[Mr Paterson]

I thank my hon. Friend for his question. We will obviously analyse the reasons the panel puts forth in its report. He asks a hypothetical question, and all I can say is that we just have to look at other countries. There is no doubt that if we look at Australia, the scientific evidence shows that it is now TB free. We can look at the United States and the white-tailed deer, the brushtail possum in New Zealand, or Ireland, which I have just cited. The Republic of Ireland is a scientific, practical example because by bearing down on the disease in cattle and in wildlife, it has got it down to the lowest level since records began. We will follow its example.

[Grahame M. Morris (Easington) (Lab)]

5. What progress he has made in requiring water companies to introduce social tariffs; and if he will make a statement.

[The Secretary of State for Environment, Food and Rural Affairs (Mr Owen Paterson)]

The Government do not require water companies to introduce a social tariff. Water companies are best placed to take decisions on the design of social tariffs as part of their charges schemes, in consultation with their customers. Social tariffs are funded by cross-subsidy between customers, so it is vital that they take account of local circumstances and the views of local people. Most water companies will have a social tariff in place by 2015-16.

[Grahame M. Morris]

I am grateful to the Minister for that answer but I draw his attention to the fact that a cost of living crisis is affecting about 2 million households in England and Wales who are classed as living in water poverty, which means they are paying at least 3% of their household income in water bills. Will the Government think again and consider supporting Labour’s proposals to introduce a reduced social tariff to help families who are struggling to pay their water bills?

[Dan Rogerson]

As I made absolutely clear to the hon. Gentleman in my previous answer, many water companies are now taking such action, but there are other things we can do to help people who are struggling with their water bills. The biggest thing we can do is to ensure that we bear down on charges for everybody. My right hon. Friend the Secretary of State has been clear in his expectations, Ofwat has been clear in the way it has entered into the price review period and companies are now responding. We will see, in the vast majority of cases, bills going with inflation or even perhaps, in some cases, going below inflation. That is a real improvement on the last price review period, given the opportunities companies have had with low borrowing.