Devon MPs call for government u-turn on axing of £50 water bill subsidy

Devon's Conservative MPs are asking the government to reverse its decision to end the yearly £50 contribution to South West Water customers' bills.

The annual subsidy was first introduced in 2013 to help bill payers in the region, where water bills were significantly higher than the national average.

It was due to end on 31 March 2025 and earlier this month the new Labour government confirmed it will not be extending the government contribution to bills beyond this date.

Rebecca Smith, who has represented South West Devon since the general election in July, is one of the MPs who has written to the Environment Secretary asking him to u-turn on the decision.

She wrote: "We wish to reiterate the need for the £50 water bill rebate to be reinstated. We’re not asking for any special favours, just that the cost to keep Britain’s prized beaches clean is fairly distributed.”

South West Water says the government's annual subsidy was "important" in ensuring bills were "manageable" for consumers in a region where 3% of the UK population helps look after a third of the country's coastline.

Ms Smith and other Tories from Devon are warning that the refusal to extend the subsidy, alongside a rise in household bills from next year, will further squeeze household budgets and "widen the gulf between the South West and the rest of the UK where annual salaries sit £921 below the national average."

"This feeds into the broader picture of a Budget which did not mention the South West once," she adds.

Labour maintains it is "fixing the foundations to put public finances on a sustainable path to restore stability" and has had to make "difficult decisions on tax, welfare and spending" since taking office on July.

On not continuing the annual rebate for water customers in the South West, the government explained: "The rebate was originally introduced in 2013 because SWW customers faced significantly higher water bills than customers in other regions due to the level of investment the company was required to make in the region’s infrastructure to meet environmental and water quality standards.

"Over the last decade, the difference between water bills in the south-west region and others has decreased. Over the next price review period, 2025 to 2029, Ofwat’s latest projections are that SWW customers’ bills will be similar to those in other regions."

It added: "The Government are committed to taking action to address water poverty and help vulnerable customers with their water bills.

"All water companies have measures in place for people who struggle to pay for their water and waste water services, including measures such as WaterSure, social tariffs, payment breaks and holidays, and debt management support.

"We expect all water companies to proactively engage with their customers to ensure that they know what support schemes are available and how to use them."

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