Water Companies: Private Ownership

Baroness McIntosh of Pickering Excerpts

Wednesday 29th October 2025 Lords Chamber

[Lord Katz (Lab)]

I agree completely with the noble Lord. Efficient, precise and forensic regulation is needed in this sector. That came across very clearly in the report of the Independent Water Commission led by Sir Jon Cunliffe. In response to his report, we have already committed to establishing a single regulator for water and to introduce a regional element within it so that, working with local communities, local businesses and water companies, the needs of an area, whether agriculture or the built environment, are taken account of in determining water company action.

[Baroness McIntosh of Pickering (Con)]

My Lords, the Cunliffe review does indeed refer to the need for a single regulator. It concludes in recommendation 16 that this regulator

“should combine the functions of Ofwat, DWI, and water functions from the EA and NE”.

Natural England is being given a very big role in the Planning and Infrastructure Bill and I just wonder how this fits with what the Government are proposing if they fulfil the recommendations of the Cunliffe review. Will we have to rewrite the planning Bill when the next water Bill comes along?

[Lord Katz (Lab)]

I thank the noble Baroness for her question and indeed her interest in this area and the Planning and Infrastructure Bill. I do not think anybody in your Lordships’ House would really like us to go through the pain of the Planning and Infrastructure Bill again. That is not what we are going to do. It will be helpful for the House to set out that we have already announced five commitments in response to the Cunliffe review and Sir Jon’s report. We will be publishing a White Paper and hope to have a water reform Bill in the next Parliament.