Andy Burnham has launched a scathing attack on “profiteering” water companies, demanding United Utilities cancel its final dividend payment to shareholders in August.
The Greater Manchester Mayor argued the money should instead be used to lower consumer costs, following a surge in the North West-based firm’s profits after increasing bills.
Mr Burnham’s comments come as he campaigns for a return to Parliament in the Makerfield by-election, with voters set to go to the polls on 18 June.
He stated: “There is simply no justification for profiteering on this scale when people are struggling with the cost-of-living crisis.
This confirms why people feel the system is rigged against them. It makes the case for essential public services coming back under public control.”
The mayor also called for stronger public control of the industry overall.
The Labour politician, widely tipped by some to potentially challenge Prime Minister Sir Keir Starmer for leadership if elected, also called for regeneration schemes in the Wigan borough to be paused.
He insisted this halt should remain until the Environment Agency, United Utilities, and developers agree on a plan to accelerate crucial infrastructure investment.
Residents in the Makerfield constituency faced flooding in 2015 and 2025, with some still not able to return to their homes, Mr Burnham said.
He called on the Government to make it mandatory for housing developers to implement the highest standards for flood resilience at project and household level in areas at risk of flooding.
He said: “Forty years of neoliberalism in Britain has left us with essential services, which the public have no choice but to use, which work to serve private vested interests over the public interest.
“The water industry is a classic case of one where the shareholders always win and the bill payers always lose.
“People are right to be angry that they are being asked to pay for bill hikes they cannot afford, only for their hard-earned cash to pour into the pockets of shareholders.”
He said excess profits were “unjustifiable” and added: “Water companies should put these surging profits into lowering bills, improving services and protecting communities.”
Mr Burnham, a former Cabinet minister, promised a vote for him in Makerfield would be a vote to “change Labour” as he launched his campaign last month.
He is one of 14 candidates standing in the election, which was triggered when Labour’s Josh Simons stood down.
The vote is expected to be a race between Mr Burnham and Reform UK’s candidate Robert Kenyon, a plumber and local councillor.
