“It is time for a fundamental reset - to rebuild trust - that work begins now.” - Deputy First Minister.
The Welsh Government has today (3 February 2026) published a Green Paper setting out once-in-a-generation proposals for fundamental reform of the water system in Wales. It will mean cleaner rivers, stronger regulation and better accountability.
Shaping the Future of Water Governance in Wales responds to the findings of the Independent Water Commission, established jointly by the Welsh Government and UK Government and published in July 2025.
The Commission undertook the most comprehensive examination of the water sector since privatisation.
Today’s proposals include creating a new, dedicated Welsh economic regulator for water, supported by new legislation and a modern regulatory framework designed to encourage investment, protect the environment and deliver a water system that works for Wales.
Speaking at a Dŵr Cymru site at Lisvane and Llanishen reservoirs this morning, the Deputy First Minister, said:
"Our ambition is clear and bold: clean and thriving rivers, safe and high-quality drinking water, fair and affordable services, and modern infrastructure ready for the future.”
“We will strengthen accountability, rebuild trust and create a system that is simpler, stronger and more transparent.
"Wales now faces an urgent reality. Climate and nature emergencies, ageing infrastructure and public concerns about water quality demand decisive action. The system we have today was designed for a different era. It is time for a fundamental reset.
Since 2022, the Welsh Government has invested more than £56 million to tackle water quality challenges through enforcement, monitoring and nature-based solutions. We have made progress on improving water quality but there is much more to do.
As confirmed in the Budget last week, in 2026-27 we are investing £5m in water quality, to strengthen enforcement and drive improvements in our rivers and seas. This fund was first established as part of the budget deal with Jane Dodds MS last year and ensures momentum on improving water quality is maintained.
The Welsh Government is committed to creating a regulatory environment that supports long-term investment in Welsh water infrastructure while protecting the public interest.
We will continue to work with the UK Government to seek additional legislative competence and bring forward a new Water Bill.
The Deputy First Minister concluded:
“The consultation is now open and we welcome views, evidence and insight from individuals, organisations and communities across Wales. I welcome your contribution to this national conversation.
“Together, we share a responsibility to leave our water environment in a better state than we found it—resilient, sustainable and ready for future generations.
“That work begins now.
