Water Companies: Regulation
The question
To ask the Secretary of State for Environment, Food and Rural Affairs, whether his Department plans to review the impact of the increased water regulation budget on water company compliance by the end of the regulatory period.
Answered by Emma Hardy
This Government has been clear there is no excuse for poor performance, and we will not look the other way while companies routinely fail to meet agreed standards. Water companies must take seriously their role in meeting the public and regulators expectations.
Ofwat is financed by licence fees that are recovered from the water companies and are accountable to Parliament for the money they spend.
The Environment Agency, who are in charge of water company inspections and prosecutions for environmental damage, will receive a cash injection of over £189 million this financial year. This will fund more enforcement officers, improved equipment and the latest technology for the regulator. This year alone it will carry out more than 10,000 inspections of water company assets and has already launched a record 81 criminal investigations into water company pollution incidents since July 2024.
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