A new once-in-a-generation plan to overhaul the water system has been unveiled today (Tuesday 20 January) by the UK government, with the publication of the much anticipated Water White Paper. The policy paper, ‘A new vision for water’ sets out clear powers for the new regulator, delivering tougher oversight and stronger accountability for water companies. For the first time in two decades, a Chief Engineer will sit inside the new single water regulator to bring back hands-on checks of water infrastructure, which the government says will end the days of water firms marking their own homework.
The new regulator will introduce an ‘MOT’ approach for water company infrastructure, requiring health checks on pipes, pumps and more. Where companies fall short, a new Performance Improvement Regime will give the regulator the power to act fast and fix failures.
A roll-out of smart metering and mandatory efficiency labels on items like dishwashers, washing machines will help households monitor their water use & cut costs – delivering savings of over £125 million on water & energy bills over the next decade. Dedicated supervisory teams for each water company will replace the current one-size-fits-all approach. Stronger inspection powers, including ‘no notice’ inspections will help prevent disruption.
Water industry planning is currently fragmented across more than 20 different processes. New reforms will bring councils, water companies, farmers, and developers together to deliver joined-up local plans to tackle river pollution, water resources & housing growth.
The government says greater transparency and tough regulation will drive forward action, including: Over the next five years, £11 billion of water company investment will improve around 2,500 storm overflows. Nearly £5 billion is being invested in upgrades at wastewater treatment works to remove phosphorus. This is part of a wider £60 billion programme which will help to protect 15,000km of rivers by 2050.
Funding for local catchment partnerships will double. A new Water Ombudsman will have legally binding powers to resolve customer complaints. This builds on tough action already taken, including introducing criminal liability for water bosses who cover up illegal sewage spills, and the power to ban unfair bonuses – blocking £4 million in bonuses last summer.
A 2026 Transition Plan will set out the path to this new system, and a new water reform bill will bring forward the legislation needed.
