07/10/2003

Spellar confirms water charges for 2006

Regional Development Minister, John Spellar has said that while Northern Ireland's water service will not become privatised, however he stated that water charges will be introduced in 2006 despite local opposition to the plan.

Speaking on Tuesday, the Minister said that while he shared the concerns of many over job losses he tried to reassure Water Service staff by saying that everything possible would be done to avoid redundancies.

“While we are not in a position to spell out the detail at this stage, I think it is important to provide certain reassurances to staff and their representatives," Mr Spellar said.

“I can confirm that we are taking all possible steps to avoid redundancies, and that staff will transfer to the new organisation with their terms and conditions of service intact and with broadly comparable pension rights which will be subject to independent validation.”

Mr Spellar also confirmed that a report on the submissions received during the consultation process has been produced and that a copy of the report will be issued to everyone who participated in the consultation exercise.

The Minister said: “I am grateful to the many people and organisations that took time to comment on the options set out in the consultation document.

“I recognise that Water Reform presents many difficult issues. The introduction of domestic water charges was never going to be a popular policy. However, arguing, that 'the Treasury should pay' would mean that we would be asking taxpayers in Great Britain to pay more when we are already paying much less than they do in Council Tax and water charges."

The feedback on the first phase of public consultation for the reform of water and sewerage services in Northern Ireland, which closed in June, has been one of the largest ever responses to any local consultation process.

The public consultation on the 'Reform of Water and Sewerage Services in Northern Ireland' sought views on a number of issues including the basis on which water charges should be set; how best to protect the consumer within a charging regime; and the most effective business model for the delivery of water and sewerage services.

However, many people across Northern Ireland feel the introduction of charges are unnecessary.

The Transport and General Workers' Union believe such measures could result in a loss of a many as 600 jobs if current proposals are introduced.

The Government argue that once fully introduced, water charges will enable an extra £300 million to be pumped into public services every year.

(MB)

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