Overview

This bill allows the UK government to provide financial assistance to water companies in England and Wales. This assistance can be used to lower customer water and sewerage charges and to fund major upgrades to water and sewage infrastructure.

Description

The Water Industry (Financial Assistance) Bill amends the Water Industry Act 1991. It introduces two key provisions:

Financial Assistance to Reduce Charges

The Secretary of State can provide financial aid (grants, loans, or guarantees) to water companies (undertakers and licensed suppliers) in England to reduce water and sewerage charges for their customers. This aid can apply to all customers or specific groups.

Financial Assistance for Major Works

The Secretary of State can give financial assistance for exceptionally large or complex projects related to building or upgrading water and sewerage infrastructure in England. This aid is conditional upon the infrastructure being used by an English water company to fulfill its duties. The assistance can be in various forms, including grants, loans, guarantees, insurance, or even share purchases.

The bill specifies that “English undertaker” refers to water or sewerage companies operating primarily in England.

Government Spending

The bill does not specify the amount of government spending. The level of financial assistance will be determined by the Secretary of State on a case-by-case basis, depending on the need and the specific projects.

Groups Affected

• Water Customers in England and Wales: May see lower water and sewerage bills if financial assistance leads to reduced charges.
• Water Companies in England: May receive financial assistance to reduce charges or fund major infrastructure projects.
• UK Government: Will incur costs associated with providing financial assistance, the amount of which is unspecified.

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