Ofwat appoints interim chief executive after David Black departure

Independent

9 hours ago

Ofwat has appointed an interim chief executive to take over from the outgoing boss as the embattled regulator prepares to be abolished.
Chris Walters will take the helm from August 30, Ofwat announced on Thursday.
It comes two days after the regulator announced that the incumbent chief executive, David Black, would be standing down after four years in the role.
Mr Walters moves into the role from his current position as a senior director for the price review – the regulator's process for setting the price, service and incentive package for water companies for a five-year period.
However, he will be overseeing Ofwat as ministers plan its dissolution in a major regulatory shake-up for the water industry.
The government announced the move last month as part of its response to public fury over rising bills, sewage pollution and large bonuses for bosses.
Ofwat may not be formally axed until at least 2027, with the process to overhaul the current system likely to be complex.
The regulator said the board has made changes to the leadership structure to reflect the transitional nature of its work going forward.
Currently, Ofwat oversees how much water companies in England and Wales can charge for services; the Drinking Water Inspectorate ensures that public water supplies are safe; while the Environment Agency and Natural England have regulatory functions to monitor firms' impact on nature.
The regulators have faced intense criticism for overseeing companies during the years where they paid out to shareholders and accrued large debts while aging infrastructure crumbled and sewage spills skyrocketed.
Under government plans, measures will be rolled out to merge their regulatory responsibilities into a 'single, powerful' regulator – one for England and another for Wales.
It comes as one of 88 measures recommended by an independent review led by former Bank of England governor Sir Jon Cunliffe, which was commissioned by ministers to answer the widespread outrage over the ailing water sector.
Ofwat said Mr Walters will be tasked with providing leadership for the organisation, but will also lead the engagement process with the government and industry as the recommendations are taken forward.
As part of its own response to the crisis, Ofwat said it would allow firms to raise average bills from 2025 to 2030 to help finance a £104 billion upgrade for the sector as part of its 2024 price review.
Elsewhere, Helen Campbell, Ofwat's senior director for sector performance, has been appointed as the executive director for delivery.
Ms Campbell will also take up her new position from August 30, reporting directly to the board.
In this role, she will take responsibility for ensuring the delivery of the £104 billion five-year expenditure programme.
She will also oversee progress on the £50 billion pipeline of major infrastructure projects and the stabilisation of Thames Water, which is facing a severe financial crisis that has brought it to the brink of potential nationalisation.