Lib Dems call out ‘weak’ Government action on water firm bonuses

David Chadwick, Welsh Liberal Democrat MP for Brecon, Radnor and Cwm Tawe, has condemned the Government for excluding Dŵr Cymru and Hafren Dyfrdwy/Severn Trent from its executive bonus ban, calling it a weak and piecemeal response that allows polluters to escape accountability.

Only six firms, Thames Water, Anglian Water, Wessex Water, United Utilities, Yorkshire Water, and Southern Water, face an executive bonus ban in 2024/25.

Others, like Dŵr Cymru and Hafren Dyfrdwy/Severn Trent have been left out despite ongoing concerns over sewage, service, and rising bills.

In 2021, Peter Perry, CEO of Dwr Cymru received a total of £892,000 in remuneration – a combination of salary, benefits, pension, variable pay, and incentives. Last year he received £91,000 in bonuses.

In April this year Dwr Cymru was accused of trying to evade upcoming crackdowns on executive bonuses.

The exclusion of both Dŵr Cymru and Hafren Dyfrdwy/Severn Trent from the bonus ban comes despite an abysmal environmental record for both companies in Wales.

Figures released earlier this year showed that Dwr Cymru released sewage into rivers, lakes and the sea for more than 968,000 hours last year, an increase compared to more than 916,000 hours the year before.

Meanwhile, Hafren Dyfrdwy - which operates in parts of Mid & North Wales, had 1,810 sewage spills last year, the equivalent of 17,001 hours. That compares to 1,899 spills in 2023 lasting 16,229 hours.

Data uncovered by the Lib Dems this year also showed that approximately 251 million litres of water are lost every day because of leakages in Dŵr Cymru’s system.

The Welsh Liberal Democrats have been campaigning to clean up Welsh rivers for several years and have previously proposed bans on all executive bonuses at water companies, greater investment in sewage infrastructure and for environmentalists or community groups to sit on the boards of water companies.

The Welsh Liberal Democrat Leader Jane Dodds MS also secured £5 million extra for Natural Resources Wales to be used specifically on tackling sewage pollution in Welsh rivers and seas as part of a budget deal with the Welsh Government.

Commenting, Welsh Liberal Democrat MP for Brecon, Radnor and Cwm Tawe David Chadwick said:

“People right across Wales are extremely angry about the amount of sewage entering Welsh rivers lakes and seas. Meanwhile, both Dŵr Cymru and Hafren Dyfrdwy have some of the highest water bills in the UK and fail to maintain leaky pipes.

"In my own constituency, the rivers Wye, Usk and Tawe are in extremely poor condition, being some of the worst polluted by sewage in the entire country. 

“The Welsh Liberal Democrats have been at the forefront of the fight to clean up our waterways for over five years now, yet neither of the governments in Cardiff Bay or Westminster has managed to get to grips with the issues at hand.

“Water companies need to be held properly to account, no bonuses for polluting and poor services. No loopholes. No more excuses.

“It’s time both the Welsh and UK governments took action for fundamental reform to clean up the industry and provide the services the public deserves and pays for.”

ENDS