I have raised concerns over the announcement that Scottish Water water and waste charges will increase from 1 April 2024 by 8.8% amid speculation that the increase will repeat annually until 2026/27, meaning an overall increase of 29% in the next three years.
Water and waste charges, paid via Council Tax, are determined by the board of Scottish Water, a publicly owned company that provides water and sewerage services across Scotland and is accountable to the Scottish Government.
In response to a question at FMQs on 1 February 2024, First Minister Humza Yousaf MSP said arrangements for setting water charges are “[…] set out in the Water Industry (Scotland) Act 2002, and decisions on charges are rightly a matter for the board of Scottish Water”.
I am deeply concerned with the announcement that Scottish Water will be increasing water and waste charges by 8.8% this year and the speculation that this will continue to rise over the next three years.
At a time of economic uncertainty for many people across Scotland, there are questions to be answered as to why this move has been made now and what exactly Scottish Water is spending its money on.
I also note recent coverage of the salaries and bonuses of the senior management team at Scottish Water and would say that it is not a good look to be raising charges by this amount when it was deemed appropriate to increase the new Chief Executive’s salary to almost £300,000 and pay out around £3 million in salary and bonuses to senior management since 2021.
Scottish Water have attempted to justify this in a press release, stating around 50% of Scottish households receive financial support with their charges.
But at a time where the cost of everything is increasing and wages continue to stagnate, this change will hit hard working people across the country who are already struggling to make ends meet.
I am deeply concerned about the lack of government oversight of this decision, with the First Minister essentially saying it’s up to Scottish Water what they do at First Minister’s Questions.
That is why I have written to the Cabinet Secretary responsible for Scottish Water to ask her what the government intends to do to ensure people across Scotland are not being pushed into further financial hardship due to government inaction.