England and Wales’ supply of clean drinking water is managed by sixteen privately-owned companies. These companies are expecting to spend at least £272bn over the next 25 years to meet significant supply and environmental challenges faced by the sector. The Department for Environment, Food & Rural Affairs (Defra) oversees water policy, while Ofwat, the Environment Agency and the Drinking Water Inspectorate also have separate regulatory responsibilities.
In a 2020 report on water supply and demand management, the PAC warned that England faces a serious risk of running out of water within 20 years, and called on Defra, Ofwat and the Environment Agency to take urgent action to ensure a reliable water supply in the years ahead. It also found that Government has failed to be clear with water companies on how they should balance investment in infrastructure with reducing customer bills. The Environment, Food and Rural Affairs (Efra) Committee launched its own inquiry into reforming the water sector in 2024.
The National Audit Office’s (NAO) 2025 report on regulation in the water sector examined the effectiveness of the regulatory regime in delivering long-term objectives and attracting the investment needed in the sector. Based on the NAO report, the PAC will hear from experts and senior officials from Defra, the Environment Agency and Ofwat on subjects including outcomes the industry needs to achieve and levels of investment required, and the current effectiveness of regulation.
Please look at the requirements for written evidence submissions and note that the Committee cannot accept material as evidence that is published elsewhere.
Please note that the Committee is unable to consider or assist with individual cases. If you need help with an individual problem you are having, you may wish to read the information on Parliament’s website about who you can contact with different issues.