Committee publication · Correspondence · 24 September 2025
Correspondence to the Minister for Water following evidence session, dated 24 September 2025
From: Environment, Food and Rural Affairs Committee
Inquiry: Reforming the water sector
Summary
The EFRA Committee writes to the Minister for Water following her 9 September evidence session. The letter requests written responses on five substantive areas: regulatory reform and the proposed integrated water regulator; Thames Water's governance and special administration thresholds; abstraction licence monitoring and enforcement; the Minister's cross-departmental climate adaptation role; and the Government's position on plastic waste exports.
Key findings
- Committee welcomes ministerial commitment to sector reform but expresses concern that splitting environmental regulation (water from Environment Agency/Natural England) risks creating tensions in interconnected environmental oversight.
- Seeks clarity on funding, independence, and parliamentary accountability mechanisms for the proposed new water regulator, particularly given historical government pressure to suppress bills and poor regulatory resourcing.
- Questions Government's threshold for special administration of Thames Water, noting the company already fails performance targets and breaches licence conditions despite Minister suggesting threshold is 'as serious as water not flowing from taps'.
- Highlights Office for Environmental Protection findings that abstraction licences are poorly monitored and enforced; requests assessment of current regime and timeline for bringing licences into Environmental Permitting Regulations.
- Seeks clarification of Minister's cross-departmental climate adaptation role and how it coordinates with farming minister; requests information on financial and planning barriers to water resource investment on farms.
Tone
ProceduralTopics
Key actors
Emma Hardy MP, Alistair Carmichael MP, Charlie Maynard MP, Minister for Food Security and Rural Affairs, Minister Creagh, Environment Agency, Natural England, Thames Water
Notable line
“… therefore do not want to see a return to the old sector but want to see a revitalised water sector which is focused on positive outcomes for customers and the environment.”
Key Quotes
“… therefore do not want to see a return to the old sector but want to see a revitalised water sector which is focused on positive outcomes for customers and the environment.”
“… given that all aspects of the environment - water, air and earth - are greatly interconnected, we are concerned that there is a risk of creating new tensions in environmental regulation.”
“A lack of resourcing amongst Defra's regulators has also been a long-standing issue, leading to limited monitoring and high staff turnover.”
“… historic pressure from government to keep bills low, which has consistently lowered bill revenues in real terms and inhibited investment.”
Source · parliament.uk record ↗