An early big test

​A new government, a new approach. Let’s see exactly how this plays out with the announcement today that on average water companies will be allowed by the regulator to raise prices over the next four or so years by 94% A bit more than that here in Yorkshire (where the water is the purest in the world). Water companies have gone on the offensive, describing this increase as a cut—they were intent on far higher price increases. They claim they want to do more to protect the environment—but obviously without endangering bosses’ bonuses or shareholders’ dividends. The water companies have ripped us all off Royally, putting the industry in hock to foreign gamblers who since privatisation have fleeced consumers for billions. I bet water renationalisation remains a popular policy, but the new grown-ups in Whitehall will tell us it would be too expensive—as if they had no powers to make it less expensive. I wonder how quickly this story will disappear in a soggy swamp of bureaucratic obfuscation as ministers one by one fall into line. Let me say though: I hope I’m wrong!