Campaigners and industry respond to ‘once-in-a-generation' water reform report

Glasgow Times

21-07-2025

Mike Keil, chief executive of the Consumer Council for Water (CCW), said public trust in water companies had been 'drained' by poor environmental performance and wider service failures.
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.
Mr Keil said: 'The commission has set out significant changes to the regulatory system.
'But water companies have always had the freedom to do what's right by their customers – and many have made bad choices.'
Mr Keil said affordability must be a key focus of reform, with households already struggling following this year's sharp rise in water bills.
'More people are turning to CCW to complain about not being able to afford their bill,' he said.
'Over two in five households have told us they've cut spending on essentials like food to make ends meet.
'The case for a single social tariff for water has never been more urgent.'
He welcomed recommendations to make the existing voluntary ombudsman scheme mandatory, saying: 'We're delighted the commission has recommended building on our work at a time when we're seeing more people turn to us for help.'
But River Action chief executive James Wallace accused the commission of falling short, saying it had 'blinked' when faced with a chance to break with the past.
Low water levels at Yorkshire Water's Agden Reservoir, near Sheffield (Dave Higgens/PA)
'This was a once-in-a-generation opportunity to reset a broken and corrupted system,' he said.
'Instead, we've been handed vague policy nudges that leave the current failed privatised water company model intact.'
Mr Wallace said nothing less than 'a credible plan to rescue Britain's rivers, lakes and seas' was needed, including a clear path to bring 'failing companies like Thames Water into public control'.
He called on the Government to put Thames Water into special administration as a 'powerful statement of intent', warning: 'Our water is our life-blood and not for sale.'
Water UK, the trade body for the water companies, welcomed the commission's findings, calling reform 'long overdue'.
A spokesperson said: 'Everyone agrees the system has not been working.
'These recommendations should establish the foundations to secure our water supplies, support economic growth and end sewage entering our rivers and seas.'
Golfers play on watered greens in Warwick as the West Midlands officially entered a drought (Jacob King/PA)
Richard Benwell, a member of the Independent Water Commission's expert advisory group and chief executive of Wildlife and Countryside Link, said a 'culture of rule-breaking and non-compliance' was harming rivers and wetlands, and called for a more powerful and independent environmental regulator.
He welcomed the proposal for new regional water authorities but warned reforms would fall short without proper funding and a clear steer from Government.
'Reforming regulators without fixing resourcing and remit would be painting over cracks,' he said.
Ali Morse, water policy manager at The Wildlife Trusts, said the report offered 'strong recommendations' for more integrated, regionally driven planning, but warned time was running out to act.
'The commission has set the framework – now the Government must act with purpose,' she said.
Gary Carter, national officer at the GMB union, said the report confirmed what the union had argued for years – that water privatisation had been a 'disastrous failure'.
He accused company bosses of profiting while the water infrastructure 'crumbles through lack of investment' and sewage pollutes rivers.
'It's a disgrace – and one Ofwat has overseen,' he said.
'Now is the time to fundamentally reform the water sector and renationalise this vital resource.'