There was a further twist in the long-running row between London councils and utility company Thames Water this week when a report by the Association of London Government鈥檚 health and public services committee put the bill for fixing water pressure problems across the capital at 拢1bn.

This figure 鈥 arrived at without cooperation from Thames Water according to the ALG 鈥 was promptly rubbished by the utility firm, which claimed the cost of ensuring water pressure was improved in high-rise buildings was closer to 拢20m.

The two organisations have been sniping at each other since the problem of poor, or often non-existent, water pressure for many high-rise council blocks was first revealed last year (HT 27 August, page 12). At the time ALG research indicated that installing pumps to reduce the problem would cost as much as 拢100m.

The drop in pressure followed the introduction of a pan-London strategy by Thames Water of bringing down water pressure levels in the capital to reduce leakages and burst pipes.

The ALG report estimated about 300,000 London properties would be affected at a cost for council housing of between 拢90m and 拢340m 鈥 much of which may have to be met by social landlords.

Stephen Cowan, deputy chair of the ALG鈥檚 housing steering group, said councils should not have to pay for this major policy change, which would divert funding from essential repair work for council homes. But a spokesman for Thames Water said the 拢1bn figure was 鈥渨idely inaccurate鈥 and that it would share the costs with London boroughs.

He added: 鈥淥nly a thousand buildings will be affected by the works, which we plan to complete by 2010.鈥 ALG said it would now work with Thames Water to get a more precise estimate.