Burnham to repeal Thatcher-era ban on public ownership of water companies

As part of a ten-year plan to transform the privatized water sector, Prime Minister Andy Burnham has announced plans to repeal the Thatcher-era ban on public ownership of water companies. Speaking at the Labour conference in Liverpool, Burnham stated that the privatized water industry, introduced under Margaret Thatcher, has failed and his government will introduce a new water bill to regain control of the sector.

He criticized the water industry as a symbol of "what has gone wrong with Britain" and highlighted how it has created a system where "shareholders never lose, the public never win." Burnham also announced that mayors would be given greater powers to hold water companies accountable. The Labour leader has consistently advocated for increased public control of the water and energy industries, though previously did not specify if this would involve direct nationalization.

He has previously called for a special administration regime, a form of temporary nationalization, for struggling utility firm Thames Water, which is burdened with £20 billion in debt. Critics warn that placing Thames Water into such a regime could lead to significant taxpayer losses, estimated at over £4 billion, and could negatively impact other listed utility firms including United Utilities, Severn Trent, and Pennon.

Burnham's plans, made in his first conference speech as Labour leader, also include plans to downgrade the triple lock on pensions to fund a new National Care Service and introduce a new grid system called the Great British Grid.