Today I am announcing the launch of this Government’s water White Paper, “A New Vision for Water”.
This paper sets out once-in-a-generation reforms for our water system, putting consumers and the environment first.
For too long, previous Governments have turned a blind eye to record levels of pollution and poor performance.
Companies have been profiting at customers’ expense, with vital infrastructure left to crumble and public trust destroyed.
This Government inherited that failure—and we are not shying away from it.
Every family in this country deserves clean water from their taps, seas their children can swim in, and bills that are fair and affordable.
We have already taken decisive action and have:
passed the Water (Special Measures) Act 2025 to give regulators the powers to ban bonuses for polluting water bosses, and to take tougher and faster action against water companies.
secured a historic investment of £104 billion of private sector funding to rebuild the water network.
established the water delivery taskforce to get spades in the ground, fast-track delivery of new infrastructure projects and drive economic growth.
We are now going further. This White Paper sets out our response to Sir Jon Cunliffe’s Independent Water Commission’s final report of July 2025 and gives a clear vision for the reforms this Government will make to our water sector. I would like to reiterate my thanks to Sir Jon Cunliffe for his excellent leadership of the Commission.
We will:
Set out a clear direction for the water sector by revising the strategic policy statements, rationalising planning and introducing a more joined-up regional water planning function and framework to improve local decision making and delivery. There will be new overarching targets for the water environment to enable consistent oversight and alignment. This will increase the long-term stability of the water sector.
Reset the approach to regulation by abolishing Ofwat and creating a new single, integrated water regulator that combines the functions of the four existing regulators. This will replace the currently fragmented system with a proactive and targeted supervisory approach tailored to individual companies. We will create a new performance improvement regime to give the regulator the power to step in and put things right for the poorest performing companies.
Make the water sector more attractive to, and reliable for, long-term low-risk investors by simplifying performance commitments. We will introduce new measures to improve financial resilience and ensure investors receive a fair and stable return that compensates for risk.
Make sure customers are protected by creating a new independent water ombudsman, alongside stronger protections to keep bills predictable, affordable and fair. There will be better access to smarter metering to help those who need it most. New water efficiency labels will be on every appliance, so when customers buy a washing machine or shower, they will know exactly what it will cost not just to buy, but to run.
Protect our waterways from pollution with record investment in storm overflows and waste water treatment, taking action to tackle sewer misuse and introducing a clearer set of standards and enforcement for agricultural pollution. We will also end operator self-monitoring and develop a new, strengthened open monitoring approach, making data accessible to the public in near real time and helping to restore public trust in the system.
Increase the resilience and security of the water system by introducing statutory resilience standards and improving mapping of asset health. There will be new “MOT” checks on water infrastructure to stop water company assets being left to crumble. The new regulator will have a chief engineer and engineering capability so that decisions are grounded in practical understanding. We will improve infrastructure planning with better regulatory oversight to deliver projects more efficiently, attract third-party investment, and protect infrastructure from growing risks.
Several reforms will be taken forward immediately while others will form the foundation of a new water Bill. The Bill will provide the powers necessary for transformation and deliver the outcomes the public deserve.
To help stakeholders manage these changes, we will publish a transition plan detailing the journey to a new system.
This Government were elected with a clear mandate to clean up our rivers, lakes and seas. We remain committed to delivering on that promise.
We will work in partnership with the water sector, investors and communities to drive this sector-wide transformation.
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