'Rain tax' could hit community groups (From Worcester News)

'Rain tax' could hit community groups

6:00am Monday 20th July 2009 in Search

SMALL community and voluntary groups could face closure under a proposed “rain tax” that could add hundreds of pounds to their water bills.

Under proposals approved by regulator Ofwat, water companies will be able to charge groups about £500 a year if the water running off their property drains into sewers.

Lew Nash, president of the Malvern Scouts District, said: “Smaller groups will be badly hit and some may have to close or amalgamate with others, causing extra problems with youngsters having to travel further.”

He said groups such as churches, village halls and community sports clubs would be hit. “This will seriously damage our social fabric as these organisations add value to community life and many are welfare providers.”

Derek Barnes, Malvern Scouts District Commissioner, said: “I would not be surprised to see at least one group fold due to the extra costs and many more struggle to find the increased costs.”

Rev Paul Finch, of All Saints Church, the Wyche, said it was a concern for the Church of England. He said: “This needs to be reconsidered. The impact could be quite disastrous for us.

“Along with the recession, this could have a drastic impact on all sorts of voluntary and community groups.”

Lib Dem parliamentary hopeful Richard Burt this week attended a Scouts rally in London protesting against the charge. He said: “This rain tax is exactly the sort of barmy charge that should be stopped dead in its tracks as it could push many local voluntary groups over the edge.”

A statement from Ofwat said: “Only the Government can decide whether any group of customers does not have to pay these charges.”

Severn Trent spokesman Grace Marren said: “We are concerned about how the change will affect our customers, and this is why we intend to phase the new charge in over a number of years.”