8 December 2005
MINISTER REITERATES THE CASE FOR CHARGES
The case for the introduction of water and sewerage charges remains as strong as ever, Minister Shaun Woodward has said.
The Minister was speaking as he launched the final Integrated Impact Assessment (IIA) of the Government's proposals for water reform.
"Whilst I recognize there remains a high degree of opposition to the introduction of charges the fact remains we have heard nothing to suggest that there is a realistic alternative to the reform programme.
"Basically those who are opposed to the introduction of charges say that the people of Northern Ireland already pay for their water and sewerage services and that they are being asked to pay twice.
"Let me make it clear, people here do pay towards the provision of all public services in Northern Ireland (including water and sewerage) but the simple fact is that elsewhere in the UK they pay much more and have been doing so for many years. People here are not being asked to pay twice for one particular service - they are being asked to pay more overall.
"Over many years people in England, Scotland and Wales have benefited from investment of more than £50 billion in water and sewerage services paid for by direct charges from customers. Northern Ireland meanwhile has lagged behind as it continued to try and fund these services from rates and general taxation alone.
"The situation is that while in England, Scotland and Wales combined property taxes and water and sewerage bills amount to over £1,200 here the average rates bill is around £550. This is less than half what people in Great Britain are paying and is simply not sustainable.
"New domestic charges will provide a reliable, source of revenue to sustain the major investment needed for the future. More importantly it will mean we do not have to take money from areas such as health, transportation and education. In fact by virtue of the introduction of water charges something in the region of £300 million per year will released by the end of the decade to be spent on these other services.
"I do however recognize that the charges that we plan to introduce must be fair and affordable and to this end I am announcing today a series of proposals to achieve those twin objectives.
"In particular an enhanced package of protections will safeguard those such as pensioners and those on low incomes. Also average charges here will be in line with the average in England and Wales and will be phased in over three years. This means that in April 2007 the average Northern Ireland water and sewerage bill will be around £2 per week. Indeed those who qualify for our new Affordability Tariff, about 30% of homes, can expect to pay no more than £60 that year and many will pay considerably less."
Media queries to: Paddy Cullen or Anne McGivern, Department for Regional Development, Press Office, Tel: 028 9054 0004
Click here to print this press release.
