Danny Chambers slams 'excessive' pay of Southern Water execs

This comes as the Liberal Democrats reveal the water company paid their four executives £587,000 in pay and perks last year.

A new analysis of Company House records has shown that the country’s water industry paid out £10m in executive salaries in 2022, the highest on record. The data also showed that, since 2020, Southern Water executives have paid themselves more than £4m in pay and perks.

Danny Chambers called for a ban on all CEO bonuses within the water industry (Image: Contributed)Mr Chambers, the Liberal Democrat Parliamentary candidate for Winchesters, has called for a ban on all CEO bonuses within the water industry, as well as the firms to be reformed as “public benefit companies”. These reforms would put an end to profit before the environment by environmental experts appointed to their boards.

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He said: “Our local waterways like the River Itchen are being pumped full of raw disgusting sewage, all whilst the water firm hand themselves insulting pay-outs. The whole thing stinks. These salaries and perks have reached eye-watering levels, yet Conservative MPs refuse to act.

“I was shocked that there was literally no mention of tackling the sewage problem in the King’s Speech.

“Changes must be made to prevent Southern Water from putting profit before the environment. People in Winchester and the Meon Valley are really worried about the long-term impact of raw sewage on our rivers, ecosystems and wildlife, and want an MP who will fight to reform the water industry, so it is fit for purpose.”

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“These bonuses and perks need to be banned as long as the sewage scandal continues.”

A Southern Water spokesperson said: “We would like to reassure customers, that contrary to some reports, Southern Water has paid no external dividends to shareholders since 2017, meaning all profit has been reinvested in our business for the last six years. Furthermore, our majority shareholder’s investment of £1.6bn support is allowing us to spend £3bn between 2020 and 2025 – or £1,500 per household - to improve our network.

“Our Executive bonus payments are linked to clear environmental and customer service targets, and our Chief Executive declined a bonus this year as we continue on our Turnaround Plan journey. This week we were commended by Ofwat for being one of just three companies to have achieved or exceeded 80 per cent alignment between pay and performance.”