NORTH WEST Water have been condemned for boosting bosses' pay and company profits at the expense of capital investment in the piping network.

Labour's Frank Dobson revealed profits had risen by 32 per cent in the five years since privatisation and that the firm now made £540 every minute.

As a result, the increase in profits from £215m in 1991 to £284m in 1994/95, dividends to shareholders were up 34 per cent.

And the pay of the company chairman had increased by an incredible 667 per cent, from £47,000 in 1990/91 to £360,600 in 1994/95.

But, capital investment in the water network has dropped by 19 per cent, from £455m in 1990/91 to £369.1m in 1994/95.

Environment spokesman Mr Dobson said that there were 109,781 gallons of water leaking from north west pipes every minute - 30 per cent of the total. This could provide water for more than five million people. Mr Dobson claimed that there had been more than 100,000 written complaints about North West Water service since privatisation and that more than 11 million bills have been queried by customers.

He claimed that, since privatisation, the cost of delivering water to customers had risen by 13 per cent mainly because of a massive increase in the amount of profit taken by the companies.

He said that while annual profits by the privatised water companies had risen by £510m in the five years, investment had been cut by £282m.

Mr Dobson said: "Last year the water industry made more profits than at any time since privatisation, while investing less at any time since privatisation."

Mr Dobson claimed that more than 800 million gallons of water leaks from pipes every day - enough to meet the full daily needs of half the population of England and Wales.

Mr Dobson said it was a scandal that water companies were allowed to make so much profit and invest so little because of the inadequate regulation of the water industry by OFWAT.

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