Committee publication · Correspondence · 13 May 2025

Correspondence to Ruth Jefferson, CEO, Wessex Water regarding Reforming the water sector inquiry, dated 13 May 2025

From: Environment, Food and Rural Affairs Committee

Inquiry: Reforming the water sector

Summary

The Environment, Food and Rural Affairs Committee writes to Wessex Water's CEO requesting detailed information on remuneration models, dividend policies, and spending on advertising and legal fees. The committee seeks cross-industry understanding of these practices, citing concerns about bonus culture, dividend payments, and the use of customer bill money for legal action against regulators.

Key findings

  • Committee expresses concern about the culture of bonuses and dividend payments across the water sector and varying standards applied by different companies
  • Committee seeks details on how remuneration committees are selected and composed at Wessex Water
  • Committee requests Wessex Water's current senior executive bonus policy and how it has evolved over five years
  • Committee is concerned about bill payer money being spent on advertisements and legal action against Ofwat, the Environment Agency, and the Drinking Water Inspectorate
  • Committee requests a five-year breakdown of spending on advertising and legal fees, with rationale for such expenditure

Tone

Procedural

Topics

water-regulationcorporate-governanceremunerationpublic-finance

Key actors

Ruth Jefferson, Wessex Water, Environment, Food and Rural Affairs Committee, Ofwat, Environment Agency, Drinking Water Inspectorate

Notable line

My Committee remains concerned about the culture of bonuses and paying dividends and the varying standards being applied.

Key Quotes

My Committee remains concerned about the culture of bonuses and paying dividends and the varying standards being applied.
Environment, Food and Rural Affairs Committee · raising concerns about remuneration practices in the water sector
My Committee is also concerned about bill payer money being spent on advertisements and legal action against Ofwat, the Environment Agency and the Drinking Water Inspectorate.
Environment, Food and Rural Affairs Committee · expressing concern about use of customer funds for advertising and legal activity
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Source · parliament.uk record ↗