Water regulator Ofwat should be scrapped, says review into 'broken' industry
The much-anticipated final report from the Independent Water Commission, led by former Bank of England deputy governor Sir Jon Cunliffe, outlined 88 recommendations to the UK and Welsh governments to turn around the ailing industry.
The review came at a time when the public has a record-low confidence in the private water companies that manage the UK's sewage and water distribution network.
Most of the UK's water companies are struggling with massive amounts of debt and an outdated and leaky network that sees them routinely failing to meet pollution targets.
There has also been widespread anger at soaring water bills and bosses' bonuses.
Following publication of the review, Environment Secretary Steve Reed is expected to say: 'The water industry is broken. Our rivers, lakes and seas are polluted with record levels of sewage.
'Water pipes have been left to crumble into disrepair. Soaring water bills are straining family finances."
He will also add that the review will make sure "the failures of the past can never happen again."
Sir Jon's review was the largest inspection of the water industry since privatisation.
It recommended abolishing Ofwat, which oversees how much water companies in England and Wales can charge for services, as well as the Drinking Water Inspectorate (DWI), which ensures that public water supplies are safe.
It also advised removing the regulatory roles of the Environment Agency and Natural England, which monitor the sector's impact on nature, such as companies illegally dumping sewage into waterways.
Instead, the review said a single integrated water regulator in England and a single water regulator in Wales should be established.
The current system of regulation has faced intense criticism for overseeing water companies during the years they paid out shareholders and accrued large debts while ageing infrastructure crumbled and sewage spills skyrocketed.
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