SOUTH WEST WATER PRICE INCREASES

That this House notes that the price increases announced by South West Water on Friday 16th February and approved by the Regulator in 2004 mean that average bills for South West Water customers with water meters will be £378, representing an increase of 12.5 per cent.; further notes that those without meters will see an average bill of £680, an increase of 16.1 per cent.; further notes that these increases come on top of the highest water bills in the country, caused by flawed arrangements for privatisation, meaning that three per cent. of the country's population finance the infrastructure for cleaning 30 per cent. of the country's beaches; further notes the crippling impact of these charges on those on low and moderate incomes, given that there is no relief in the benefits system, with the vulnerable persons regulations helping only 1,645 South West Water customers in 2004-05; believes that the charging system for those without meters is outdated and unfair, based on rateable values more than 30 years old; calls on the Department for Environment, Food and Rural Affairs and HM Treasury to consider as a matter of urgency the lessons from the pilot study in the South West Water area resulting from the cross-government review of water affordability; and further urges the Government to take steps to introduce a fairer system of charging and more effective help for those on low incomes including consideration of social tariffs, now that about 60 per cent. of South West customers are on meters, and through the benefits system, before the Comprehensive Spending Review is finalised.