Victoria Atkins MP: speeches

Speeches

• 16 Jun 2026 · Thames Water · Hansard source

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  First, I echo the Secretary of State’s comments in remembrance of her dear colleague Jo Cox. Her loss was felt across the House and across party political lines, and I send all of our very best wishes to her loved ones and friends. I thank you, Mr Speaker, and I thank the Secretary of State for advance sight of her statement and for a briefing call on this announcement. As you know, I have been trying for months to coax the Secretary of State to the Dispatch Box to explain major events within her portfolio, from the Government’s EU handover negotiations to their lack of support for farmers. Finally, she emerges into the light. We all assumed that it would be to announce progress towards resolving the many issues facing Thames Water and its customers; instead, it is to make a statement about a letter to the regulator. There is nothing new in this statement—no change in the situation of Thames Water, and still no certainty for billpayers. Thames Water has repeatedly failed its customers and the environment with a record of pollution, leakage and chronic under-investment. The latest figures lay this bare. The company is responsible for around a third of the nation’s worst pollution incidents, even as billpayers face steep increases in their bills. These are not abstract failures; untreated sewage has been poured into the rivers and chalk streams that local communities cherish, while customers are asked to pay more for less. The priority now must be a financial arrangement that keeps the company afloat and protects billpayers and taxpayers. While the Secretary of State’s Government are in chaos, paralysed by the Prime Minister’s weakness and the Mayor of Greater Manchester’s leadership ambitions, Thames Water continues to fail. If no deal is reached, Thames Water could collapse—again, at enormous cost to taxpayers. The Secretary of State has said that she does not want a scenario where customers “pick up the bill for the company’s failures”, but when the Conservatives tried to amend the Water (Special Measures) Act to prevent consumers from being on the hook in the event of a company going into special administration and tried to impose a lending ratio limit on water companies to prevent this situation from happening again, Labour voted it down. Why? I also remember that under the former Secretary of State, the right hon. Member for Streatham and Croydon North (Steve Reed), an investor pulled out of a previous rescue deal, partly due to political risk—in other words, the former Secretary of State had talked himself out of a deal. How is the current Secretary of State avoiding the failures of the now Secretary of State for Housing? There are those who are urging nationalisation, a word that is thrown around carelessly by Labour Back Benchers and by Reform—in fact, I think I heard it just now. None of them ever explains that nationalisation would be extremely expensive, potentially costing the taxpayer up to £20 billion. For those who are wondering what that means, it is roughly equivalent to the defence funding shortfall we have heard so much about in recent days. However, there are reasonable concerns about how Thames Water’s failures will be managed during the Government’s restructuring of the sector and the abolition of Ofwat, so can the Secretary of State please confirm that the existing penalty regime will not be downgraded or diluted, which has been briefed to the newspapers? What safeguards will be put in place to ensure Thames Water remains fully responsible for its environmental and operational failures? How will the Government ensure that billpayers are not left bearing the cost of past mismanagement, and have they offered or begun any process to recommend an alternative deal? Ministers have still not explained how investment in the sector will actually be paid for. Indeed, the Secretary of State’s predecessor had to admit that so-called private water industry investment is in reality paid for by higher bills, and the Secretary of State has repeated that today. Families already struggling with the cost of living should not become the safety net for a company that rewarded its executives while letting its infrastructure crumble. This is an important moment for the Government to show that they can balance financial stability with strong regulatory oversight and put accountability and the interests of billpayers and the environment at the heart of water reform. The Government must now deliver on the big promises they made during the election for the water sector. Public trust in the water industry is already at rock bottom.