CCW responds to NAO report on regulation of the water sector

The Consumer Council for Water says there will be “no hiding place” for water companies if they fail to deliver on their commitments to customers over the next five years.

CCW has responded to a report by the National Audit Office (NAO) examining the effectiveness of the three water regulators – Ofwat, the Environment Agency, and the Drinking Water Inspectorate – and Defra, which sets policies for the water sector.

It found there had been a failure to drive sufficient investment into the water sector, meaning it now faces significant environmental, supply and infrastructure challenges and must attract an unprecedented amount of capital.

The report also referenced CCW’s research which shows consumer trust in water companies had reached an all-time low.

Responding to the report, Mike Keil, Chief Executive of the Consumer Council for Water, said:

Restoring customer trust in the water sector is a monumental task which depends not only on effective regulation but also water companies delivering on their commitments. Companies are now being entrusted with an unprecedented amount of customers’ money to tackle many of the challenges laid bare in the NAO report and there will be no hiding place for them if they fail to deliver the step-change in performance people expect.