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Evening Standard
Evening Standard
Business
Russell Lynch

Labour MP Mary Creagh says Southern Water is a 'rotten' firm after its record fine

John Prescott pictured at the Labour Party conference in September last year (Picture: Stefan Rousseau/PA)

UTILITY Southern Water came under more flak after its record £126 million fine today as a leading Labour MP said there was “something rotten” there.

Southern falsified records over a seven-year period to disguise pollution from its sewage plants in behaviour described as “shocking” by regulator Ofwat.

Mary Creagh, chairman of the parliamentary Environmental Audit Committee, told the BBC that the offences raised serious concerns about utility firms, which Labour has pledged to renationalise if it gains power.

“There is a culture throughout this business — something rotten in this business — and the question really for policymakers is, what do we do if a water company fails, and I’m not sure either party really has got to grips with this yet,” she said. Southern has said it was “deeply sorry” for what happened.

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