New Ofwat chair to prioritise overflows and resilience

Newly confirmed chair of Ofwat Iain Coucher has set out his priorities for Ofwat, which include improving environmental performance and boosting companies’ financial resilience.

The Department of Environment, Food and Rural Affairs confirmed Coucher will succeed Jonson Cox as chair of the water regulator from July after being named as preferred candidate by Defra last month.

Coucher said his four priorities for the water regulator are to improve water companies’ environmental performance, including the use of storm water overflows; ensure financial resilience of companies across the sector; take a long-term approach to deliver infrastructure, operational performance and other improvements that will address the impacts of climate change and urbanisation; and make sure PR24 delivers for all stakeholders including customers, investors and the environment.

On his appointment Coucher said: “I have always enjoyed working in sectors that deliver societal benefit and I am passionate about the environment.  I am looking forward to working with the other members of the board and the executive team at Ofwat, the water companies and all stakeholders, to ensure we have a water industry in England and Wales of which we can be proud.”

He will succeed Jonson Cox, whose tenure will end on 30 June after a decade in the post.

Coucher will take up the position on 1 July for a term of four years and joins the regulator as it prepares to publish the draft framework for the PR24 price review for 2025-2030.

The appointment was subject to a select committee hearing with Defra, after which environment secretary George Eustice approved Coucher for the role.

During the committee hearing, the board expressed surprise that Coucher “had not given greater consideration to the way in which environmental sustainability should be incorporated and rewarded in Ofwat’s regulatory role” and encouraged him to engage with and form relationships with the Environment Agency and the newly formed Office for Environmental Protection (OEP). The committee also noted that Coucher did not demonstrate he had learnt from challenges in previous leadership roles.

It was however satisfied that he understood the need to balance infrastructure investment with dividend payments to shareholders, particularly to address water pollution problems, and overall said it was “content” with Coucher’s appointment to the role as he had a “strong understanding” of the challenges faced.

The incoming chair has previously held chief executive positions at the Atomic Weapons Establishment and Network Rail; he has been a non-executive director for Cadent Gas and the Rail Safety and Standards Board. At present Coucher is a senior advisor at global investment fund HIG Capital and is a trustee of the British Trust for Ornithology.

Cox assumed the position in 2012 and has been instrumental in overseeing improvements to financial resilience and governance of companies as well as promoting transparency to restore consumer trust with the sector.

The outgoing chair said: “Over the past decade we have made good progress in holding companies to account, and driving improvement in water companies on performance, financial resilience and culture. There is of course more to do, most particularly on rivers.  As I leave Ofwat, I do so with a real sense of hope of what this sector can deliver for customers, communities, and the environment. With Iain’s appointment, and the appointment of David Black as permanent CEO, I am happy to see that Ofwat will be in good hands.”