As the drought continues to impact UK supplies, the number of leaks reported by certain water companies has more than quadrupled since the start of the summer.
According to companies, the drying out of the soil has caused damage to subterranean pipelines, placing further pressure on an already strained water supply.
Furthermore, the Environment Agency has warned that the country’s infrastructure must be upgraded or Britain would experience water shortages in the next 25 years.
Thames Water, which serves 15 million people in South and South East England, has verified that the number of leaks recorded on its system has more than doubled since July 19.
The company’s pipes were already losing 624 million litres of water a day, and the new leaks were caused by ground movement destroying pipes as they dried up.
It went on to say that because of the increased demand, it had to pump water at a greater pressure, placing additional strain on its pipelines.
According to the Times, government sources have warned that other water providers are experiencing similar problems. While Anglian Water disputed that the number of breaches on its network had increased, the dry weather forced them to dedicate 500 personnel to repairing the leaks.
‘The trees are sucking the remaining water, so the earth is decreasing somewhat, and the ancient cast-iron Victorian water mains and plastic pipes from the 1970s can’t deal with that,’ said David Beale, a consultant engineering hydrologist.
‘The issue is that the government does not take climate change seriously.’ Things will worsen, but nothing will be done about it.’
Last night, the Water Minister instructed supply providers to prioritize consumers before stockholders, and he threatened corporations with penalties if they did not remedy leaks.
Steve Double told The Mail on Sunday that he anticipated more from the suppliers and warned them that if progress was not achieved quickly, they would face additional action.
His remarks came after this newspaper discovered that water corporations paid £3 billion in dividends to shareholders this year, money that might have been used to fix leaks, create new infrastructure, avoid sewage pollution, and help keep family costs stable.
We also uncover that water companies have debts totaling more than £60 billion, with interest payments alone amounting to roughly £1 billion last year.
More than 30 million people in England and Wales are facing or are already subject to water-use restrictions.
Welsh Water, Southern Water, and South East Water have all implemented hosepipe restrictions, while Yorkshire Water has planned a ban that will begin on August 26.
Thames Water has also said that one will be built within the next several weeks.
Mr Double said this night that water companies must do more to prepare for future droughts.
‘Water companies must continue to spend more, especially in leak detection and repair,’ he told The Mail on Sunday.
We are losing between 15% and 20% of our yearly revenue due to leakage, which is unacceptable.
‘While progress has been achieved, my message to water providers is that they must prioritize consumers before shareholder profits.’ If we do not see the expected development, we will not hesitate to take additional measures.
‘The public and the government have every right to demand more from our water corporations.’
The Thatcher administration privatized the water sector in 1989 with no debt.
Several of the firms have now been acquired by foreign investors who have used aggressive, private equity-style financial engineering to maximize profits, loading their balance sheets with borrowings.
Critics claim that the system is dysfunctional and that rising interest rates would exacerbate the situation.
Firms are also accused of underinvesting in infrastructure for years, which critics fear is harming their capacity to deal with the present drought.
We are losing somewhere between 15 to 20 per cent annually through leakage, which is not acceptable.
‘Progress has been made but my message to water companies is they need to prioritise customers, not shareholder returns. If we don’t see the progress we expect, we won’t hesitate to take further action.
‘The public and Government rightly expect more from our water companies.’
The water industry was privatised in 1989 by the Thatcher government with no debt.
Several of the companies have since fallen into the hands of foreign owners who have adopted aggressive, private equity-style financial engineering, loading their balance sheets with borrowings in order to maximise returns.
Critics argue the system is broken and that towering debts may become a catastrophic problem as interest rates rise.
Firms also stand accused of years of under-investment in infrastructure, which campaigners believe is hampering their ability to cope with the current drought.