THAMES WATER AND ITS LEAKAGE REDUCTION TARGET

That this House is deeply concerned that Thames Water has missed its leakage reduction target for a third successive year; notes that it is still losing an average of 894 million litres of water per day through leaks; further notes that Thames Water has been allowed to increase its prices by an average of 24 per cent. between 2005 and 2010 and this year announced a 31 per cent. rise in pre-tax profits to £346.5 million, despite failing to deliver basic services to consumers such as security of supply; acknowledges the comments from Ofwat calling the company `inefficient' and accusing it of exacerbating the water shortages that have led Thames Water to impose a hosepipe ban and to seek a drought order; and calls upon Ofwat to take action to ensure that Thames Water meets its leakage reduction target or is penalised for failing to do so.