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The water industry has revealed plans to spend more than £50 billion between 2020 and 2025 – a 13 per cent increase on the current five-year period.
Water UK – the representative group for the sector – said the investment will improve services to customers, keep upgrading the network, and deal with issues caused by population growth, new houses and climate change.
Every five years, water companies in England submit business plans to the economic regulator, Ofwat, for approval, as part of its price review.
For business plans covering 2020 to 2025, companies sought the views of over five million customers – believed to be one of the biggest ever exercises undertaken by an industry to work with customers to understand the issues which matter most to them.
In its “Manifesto for Water” – published today (3 September) – Water UK has summarised some of the most important improvements proposed for customers in England, with more details available in companies’ own individual business plans (also published today).
The document reveals plans for a major investment programme in services, a significant cut in leakage, an overall real-term reduction in bills, and a big increase in help for people who struggle to pay. It has also announced a new programme to clean and improve 8000 km of rivers.
Water UK chief executive Michael Roberts said: “The water industry’s record over the past 30 years – cutting leakage, keeping bills affordable, improving water quality, and cleaning up rivers – has been good, but the business plans offer to take it to another level.
“The ambition in this manifesto shows an industry that is dynamic and passionate about delivering real benefits for customers, the environment and the country as a whole. The industry has set out an ambitious vision for the future of water that puts customers right at the heart of everything that companies do.”
Ofwat will now scrutinise all the business plans before publishing an initial assessment of each company’s plan on 31 January 2019.
The regulator will categorise companies’ plans according to the level of quality, ambition and innovation they have demonstrated.
Responding to the Manifesto for Water, a National Infrastructure Commission spokesman said: “With as much as 20% of mains water lost to leakages every day, it is encouraging to see water companies setting out five-year plans to tackle this issue.
“However, the threat of hosepipe bans this summer showed the need to shore up water supplies, and so we want to see companies look even further ahead, with a clear target to halve leakages by 2050.
“That, combined with a new water transfer network to support areas suffering shortages, and measures to reduce demand, would greatly improve the resilience of our infrastructure for the future.”
Highlights from the “Manifesto for Water”
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