WET News

4 WET NEWS APRIL 2018 | wwtonline.co.uk NEWS+ Gove warns water companies: Change or face the consequences • Environment secretary tells Water UK conference that companies must act amid calls for renationalisation M ichael Gove has aimed fierce criticism at the pri- vatised water sector, say- ing the public see an industry that is "slow to stop leaks, slow to repair them, slow to stop pollu- tion and slow to say sorry". Speaking at the Water UK City Conference on March 1, the environment secretary said that "change has to come" to quell the growing pressure for renationalisation, which he said would represent "a terrible backward step". He told the conference: "Far too o„en, there is evidence that water companies – your water companies – have not been acting sufficiently in the public interest. Some have been playing the system for the benefit of wealthy managers and owners, at the expense of consumers and the environment. "Particularly in the last decade, some companies have not been as transparent as they should have been. They have shielded themselves from scrutiny, hidden behind complex financial structures, avoided paying taxes, have rewarded the already well-off, kept charges higher than they needed to be and allowed leaks, of the profit went in dividends to shareholders." Gove also had strong words for the industry's underwhelm- ing tax contributions. "Last year, Anglian, South- ern and Thames paid no corpo- ration tax," he said. "Indeed, Thames has paid no corporation Gove: water companies have not been acting in the public interest tax for a decade. Four water companies – Thames, South- ern, Anglian and Yorkshire – make particularly keen use of sophisticated financial engineering." He added: "Companies – people in this room – have said it will take up to two years to pollution and other failures to persist for far too long." He said £18.1 billion was paid out to shareholders of the nine large English regional water and sewerage companies between 2007 and 2016, adding: "The total profit was £18.8 billion over the same period – [so] 95 per cent wind up the Cayman operations because it is claimed it will take that long to contact interna- tional bondholders who may have made their investments a decade ago. That sort of excuse- mongering just won't wash, I'm afraid." Gove made time to highlight what he viewed as the "signifi- cant benefits and improvements to the environment and con- sumer" since privatisation, as well as the £140 billion invested in infrastructure since 1989, and made clear that he was strongly opposed to Labour's desire to renationalise the industry. "Unless we see change, the pressure for renationalisation will only grow," he said. "Rena- tionalisation has significant and growing public support. I believe that renationalisation would be a terrible backward step." Anglian Water was first to react to the challenge, saying it will "significantly speed up the removal of its Cayman Islands subsidiary" and spend an extra £65 million in resilience schemes that will be funded through a reduction in divi- dends to shareholders. In addi- tion, it promised a significant reduction in the company's level of debt and gearing by reducing dividends through to 2025. • Analysis • Turnover • Return on Capital % • Operating margin % • Net margin % • Sales / employee £k Contents TAKE YOUR PLACE AMONGST THE LEADERS OF 2018 It's time to secure your place in the 2018 Leaders Supplement • Ensure you're seen as we uncover the leading contractors of 2018 • Circulated across both WET News and WWTs independently audited audience • Additional copies distributed at Utility Week Live • Enhanced category listing option for the Tier 3 industry specialist contractors TAKE YOUR PLACE AMONGST THE LEADERS OF 2018 • Analysis • Turnover • Return on Capital % • Operating margin % • Net margin % • Sales / employee £k Contents TAKE YOUR PLACE AMONGST Booking deadline: 18 April 2018 Publishing date: 3 May 2018 To take your place in the de• nitive guide to the largest contractors in the water industry please contact Lesley Anne Evans: Tel: 01342 332 012 or email LesleyEvans@fav-house.com Brought to you by: WET NEWS WATER AND EFFLUENT TREATMENT NEWS REALITY CHECK Speakers at WWT's inaugural Water Scotland 2012 conference, held in Edinburgh on 3 October. Gave differing perspectives NEED TO KNOW Speakers at WWT's inaugural Water Scotland 2012 conference, held in Edinburgh on 3 October. Gave differing perspectives ≥ ≥ 30% 7.5% Alliances lead the "Ofwat searches for new chief executive and some new chief executive more words" Quote Attribution "Ofwat searches for new chief executive and some new chief execu- tive more words" Quote Attribution "Ofwat searches for new chief executive and some new chief executive more" Quote Attribution HANDBAGS Colour palette Yellow 100% to be used for logo, otherwise sparingly as it really dominates. Cyan 100% for incidental graphic devices. Grey tint - Black 10-15% for backgrounds Black 100% for wob outs to be used sparingly. Typography Brand typeface: Agency FB Bold to be used in CAPS for masthead and labels. Graphic devices: simple and chunky with reference to the 'cut corner' echoeing the masthead box. BASIC STYLE GUIDE: Page one - typography, colour and graphic devices Page two - Audience, tone of voice and attitude WET NEWS WATER AND EFFLUENT TREATMENT NEWS REALITY CHECK Speakers at WWT's inaugural Water Scotland 2012 conference, held in Edinburgh on 3 October. Gave differing perspectives NEED TO KNOW Speakers at WWT's inaugural Water Scotland 2012 conference, held in Edinburgh on 3 October. Gave differing perspectives • Speakers at WWT's inaugural Water Scotland 2012 conference, held in Edin- burgh on 3 October, gave differing perspec- tives on how Scotland might develop as a 'hydro nation', the stated goal of the ≥ ≥ 30% 7.5% Alliances lead the way north and south more words here • Anthony Cox, head of the Organisation for Cooperation & Economic Development (OECD)'s environment & economy integration division, "Ofwat searches for new chief executive and some new chief executive more words" Quote Attribution "Ofwat searches for new chief executive and some new chief execu- tive more words" Quote Attribution "Ofwat searches for new chief executive and some new chief executive more" Quote Attribution HANDBAGS Colour palette Yellow 100% to be used for logo, otherwise sparingly as it really dominates. Cyan 100% for incidental graphic devices. Grey tint - Black 10-15% for backgrounds Black 100% for wob outs to be used sparingly. Typography Brand typeface: Agency FB Bold to be used in CAPS for masthead and labels. Headline typeface: Meta Headline Bold Sans typeface: Meta Cond Black or Normal Graphic devices: simple and chunky with reference to the 'cut corner' echoeing the masthead box. BASIC STYLE GUIDE: Page one - typography, colour and graphic devices Page two - Audience, tone of voice and attitude LeadersGuide-A4ad.indd 1 22/03/2018 13:25

• Cover