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Water firms in England and Wales have been ordered to return £157.6m to customers due to their poor performance.

Ofwat said the money would come off bills for households and businesses in 2025-26, with the total rebates set to be calculated in December.

Last year, the water regulator ordered firms to repay £114m as part of a similar move.

Ofwat said the results of its annual report on water company performance showed “disappointing results” and that money alone was not enough to address the problems facing the industry.

The regulator also warned that firms were “falling further behind on key targets”, with nine out of 11 suppliers experiencing an increase in “pollution incidents” in 2023.

It comes as water bills in England and Wales are set to rise by an average of 21% over the next five years.

Ofwat’s chief executive David Black said: “This year’s performance report is stark evidence that money alone will not bring the sustained improvements that customers rightly expect.

“It is clear that companies need to change and that has to start with addressing issues of culture and leadership. Too often we hear that weather, third parties or external factors are blamed for shortcomings.”

He added: “Companies must implement actions now to improve performance, be more dynamic, agile and on the front foot of issues. And not wait until the government or regulators tell them to act.”

Ofwat’s report also found that while there had been progress made on leaks, firms had only managed a 6% annual reduction – against a target of 16% by 2025.

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However, four water companies – South East Water, South West Water, Thames Water and Yorkshire Water – were upgraded by the regulator from “lagging behind” to “average”, but it said performance improvements were inconsistent across the sector.

Anglian Water, Welsh Water and Southern Water were all categorised as “lagging behind”.

No firm managed to achieve the regulator’s top rating of “leading”.

Matthew Topham from We Own It, which is campaigning for the nationalisation of the water industry, said: “Today’s action, while a welcome respite from skyrocketing bills, exposes the Catch-22 at the heart of water privatisation.

“Water firms, which desperately need cash to stay afloat, let alone invest to end sewage pollution, will rightly hand back millions they’ve unfairly taken from the public.

“[But] rather than punishing the shareholders behind these failures, our rivers and seas will suffer from even greater underfunding, and the public from future bill hikes in following years, to cover these costs.”

Earlier this summer, the regulator announced it was investigating all wastewater companies due to concerns that some may not be meeting their obligation to minimise pollution.

In August, Ofwat announced that three firms – Northumbrian Water, Thames Water and Yorkshire Water – were facing a combined fine of £168m for a series of failings, including over sewage treatment.

Last year, industry body Water UK apologised on behalf of firms for “not acting quickly enough” on spills.

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From August: Water firms ‘need to change’

Years of under-investment by privately-run firms combined with ageing water infrastructure, a growing population and more extreme weather caused by climate change have seen the quality of England’s rivers, lakes and oceans plummet in recent years.

Some water utilities are also creaking under high levels of debt or face criticism over dividends to shareholders and executive bonuses.

Environment Secretary Steve Reed said: “Our waterways should be a source of national pride, but years of pollution and underinvestment have left them in a perilous state.

“The public deserves better. That’s why we are placing water companies under special measures through the Water Bill, which will strengthen regulation including new powers to ban the payment of bonuses for polluting water bosses and bring criminal charges against persistent law breakers.

“We will be carrying out a full review of the water sector to shape further legislation that will fundamentally transform how our entire water system works and clean up our rivers, lakes and seas for good.”

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Tulip Siddiq: Labour MP accuses Bangladesh’s leader of ‘orchestrated campaign’ to damage her reputation

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Tulip Siddiq: Labour MP accuses Bangladesh's leader of 'orchestrated campaign' to damage her reputation

Former minister Tulip Siddiq has accused the leader of Bangladesh of conducting an “orchestrated campaign” to damage her reputation and “interfere with UK politics”, according to a new legal letter seen by Sky News.

The Labour MP also said comments made by Professor Muhammad Yunus in a Sky News interview have prejudiced her right to a fair investigation, meaning the ongoing corruption inquiries into her should be dropped.

In March, the chief adviser – who is effectively the country’s interim leader – told Sky News that Ms Siddiq “has so many (sic) wealth left behind here” and “should be made responsible”.

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Bangladesh’s leader talks to Sky News

Bangladesh’s Anti-Corruption Commission (ACC) has opened several investigations into Ms Siddiq alleging corruption in connection with the government of her aunt Sheikh Hasina, who was ousted as the country’s prime minister last year.

In the new correspondence sent today to Professor Yunus and the ACC, lawyers for the former minister write: “The time has now come for the chief adviser and the ACC to abandon their wholly misconceived and unlawful campaign to smear Ms Siddiq’s reputation and interfere with her public service.”

Sky News has approached the chief adviser and the ACC for comment.

The Bangladeshi authorities have previously said they have evidence to back up their claims of corruption and will pursue action through the country’s courts.

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The Tulip Siddiq accusations explained

Speaking to Sky News on Monday, Ms Siddiq said: “I will not be allowing them to drag me into their world of dirty politics and nothing is going to stop me from pursuing the job that I was elected to do with an overwhelming majority, which is representing the people of Hampstead and Highgate.

“So they need to stop this political vendetta, this smear campaign, and this malicious persecution right from the beginning.”

The MP had requested a meeting with the Bangladeshi leader during an official visit to the UK earlier this month to “clear up” any misunderstandings.

But this was turned down by the chief adviser, who said he did not want to “interrupt a legal procedure”.

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In the new legal letter, lawyers for Ms Siddiq say the interim leader had already unfairly influenced the inquiries through previous comments.

“The copious briefings to the media, the failure to respond to our letters, the failure to even ask to meet with and question Ms Siddiq during their recent visit to the United Kingdom are impossible to justify and completely inconsistent with a fair, lawful and serious investigation,” reads the letter.

The correspondence also sets a deadline of 30 June 2025 for the Bangladeshi authorities to reply by, stating that “in the absence of a full and proper response… Ms Siddiq will consider this matter closed”.

A former Nobel Prize winning economist, Professor Muhammad Yunus became interim leader of Bangladesh last August after weeks of deadly protests forced Sheikh Hasina from power.

He has pledged to root out corruption and recover alleged stolen wealth before holding votes to elect a permanent administration.

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Tulip Siddiq questioned over Bangladesh corruption

Last month, Professor Yunus banned the Awami League – the political party still led by Sheikh Hasina – from standing in the coming elections.

That led to criticism from those still loyal to the former prime minister, with protests also sparking in the country over jobs, pay and planned reforms.

Earlier this year, it was revealed that Tulip Siddiq had lived in several London properties that had links back to the Awami League.

She referred herself to the prime minister’s standards adviser Sir Laurie Magnus who said he had “not identified evidence of improprieties” but added it was “regrettable” Ms Siddiq had not been more alert to the “potential reputational risks” of the ties to her aunt.

Ms Siddiq said continuing in her role would be “a distraction” for the government but insisted she had done nothing wrong.

Sheikh Hasina is currently standing trial in absentia in Dhaka over alleged killings during last summer’s civil unrest.

Asked by Sky News if she had any regrets about links to the Awami league, Ms Siddiq said: “The main thing I would say to you, I’m very proud to be the MP for Hampstead and Highgate. I was born in London, I grew up in London. I went to school here and now I’m an MP here.”

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Sheikh Hasina pictured in 2023.
Pic: AP/ Yomiuri Shimbun
Image:
Sheikh Hasina pictured in 2023. Pic: AP/Yomiuri Shimbun

In March, Sky News revealed that UK investigators could assist with probes into alleged grand corruption during Hasina’s time in power.

Staff from the National Crime Agency visited Bangladesh in October and November as part of initial work to support the interim government in the country.

Last month, the NCA confirmed it had secured a “freezing order” against a property in north London linked to Ms Siddiq’s family.

She denies all the allegations – and sources close to the MP say the authorities have been sending correspondence to an address in Dhaka that has no connection with her.

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National investigation into NHS maternity services launched after families ‘gaslit’

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National investigation into NHS maternity services launched after families 'gaslit'

A “rapid” national investigation into NHS maternity services has been launched by the government.

The announcement comes after Health Secretary Wes Streeting met families who have lost babies and amid the ongoing investigations at some NHS trusts into maternity care failings.

The investigation in England is intended to provide truth to families suffering harm, as well as driving urgent improvements to care and safety, as part of efforts to ensure “no parent or baby is ever let down again”.

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The Royal College of Midwives (RCM) welcomed the government’s announcement and said maternity services were “at, or even beyond, breaking point”.

Last week, the NHS regulator said maternity and neonatal services at two Leeds hospitals had been rated inadequate over safety issues.

Mr Streeting, who was speaking at the Royal College of Obstetricians and Gynaecologists (RCOG) conference in London, apologised on behalf of the NHS for what families had been through and said it was “clear something is going wrong”.

He added: “For the past year, I have been meeting bereaved families from across the country who have lost babies or suffered serious harm during what should have been the most joyful time in their lives.

“What they have experienced is devastating – deeply painful stories of trauma, loss, and a lack of basic compassion – caused by failures in NHS maternity care that should never have happened.

“Their bravery in speaking out has made it clear: we must act – and we must act now.”

Mr Streeting said families have had to “fight for truth and justice” and had described being “ignored, gaslit, lied to, manipulated and damaged further by the inability for a trust to simply be honest with them that something has gone wrong”.

The investigation will consist of two parts.

Health Secretary Wes Streeting speaking during the RCOG World Congress 2025.
Pic: PA
Image:
Wes Streeting speaking during the RCOG conference. Pic: PA

The first will investigate up to 10 of the most concerning maternity and neonatal units, including Sussex, in the coming weeks to give affected families answers as quickly as possible, according to the Department of Health.

The second will be a “system-wide” look at maternity and neonatal care, uniting lessons from past inquiries to create one clear set of actions designed to improve NHS care.

A National Maternity and Neonatal Taskforce will be chaired by Mr Streeting and made up of experts and bereaved families.

The investigation will begin this summer and report back by December.

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Sir Jim Mackey, chief executive of NHS England, said: “This rapid national investigation must mark a line in the sand for maternity care – setting out one set of clear actions for NHS leaders to ensure high quality care for all.”

Dr Ranee Thakar, president of the RCOG, said: “The maternity workforce is on its knees, with many now leaving the profession.”

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RCM chief executive Gill Walton said: “Everyone involved in maternity services – the midwifery community, obstetricians, anaesthetists, sonographers and, of course, the women and families in their care – knows that maternity services are at, or even beyond, breaking point.

“This renewed focus and commitment by the health secretary to deliver change is welcome, and we will do everything we can to support him in doing so.”

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Annabel Rook death: Man charged with murder of woman found stabbed after gas explosion

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Annabel Rook death: Man charged with murder of woman found stabbed after gas explosion

A man has been charged with the murder of a 46-year-old woman found stabbed following a gas explosion at a house in London.

Clifton George, 44, will appear at Thames Magistrates’ Court on Monday.

He has also been charged with arson with intent to endanger life, the Metropolitan Police said.

Charity worker Annabel Rook was found fatally injured at a property in Dumont Road, Stoke Newington, northeast London, just before 5am on Tuesday.

In a statement following her death, Ms Rook’s family said they were “struggling to come to terms with this terrible tragedy”.

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“We have lost our beautiful daughter, sister, friend and mother. Annabel was a truly wonderful woman,” the tribute read.

“She touched the hearts of so many.

“She gave her life to helping the vulnerable and the disadvantaged whether it was in refugee camps in Africa or setting up MamaSuze in London, to enhance the lives of survivors of forced displacement and gender-based violence.”

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