Alliance Infrastructure Spokesperson Andy McMurray has called for a new funding model for NI Water to address the chronic neglect of Northern Ireland's water and wastewater infrastructure.

The South Down MLA's comments follow reports that a £400 million housing development in Derry has been stalled due to water infrastructure constraints.

Mr McMurray said that this was the "latest example" of how outdated water infrastructure is hindering housing development and negatively impacting communities across Northern Ireland.

Mr McMurray emphasised the urgent need for a sustainable funding model to ensure adequate investment in water and wastewater services, enabling the delivery of much-needed housing and economic growth.

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He continued: "The impact on both the environment and the economy also cannot be overlooked, with our waterways and biodiversity harmed by pollution and development of the likes of factories and offices also grinding to a halt, with implications for local businesses.

"While the Minister talks about a three-pronged approach to this issue, there is a fourth prong which grasps the nettle and looks at how we restructure the model by which NI Water is funded.

"Alliance recently published In Deep Water, our plan to fix Northern Ireland’s broken water and wastewater infrastructure. One of the key recommendations in that plan is for a new funding model for NI Water, and we favour mutualisation, which would allow NI Water to borrow against its asset base and create long-term investment plans to boost capacity in our water system. Guided with strategic advice from a new Infrastructure Commission, this model would deliver the water investment that our communities, economy and environment have been crying out for."