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Huw Irranca-Davies, Deputy First Minister & Cabinet Secretary for Climate Change & Rural Affairs

First published:
19 December 2024
Last updated:

On 19 December 2024 Ofwat, the independent regulator of the water industry, completed its statutory water price review for the coming regulatory period 2025 – 2030. It has published its final determination on water companies’ business plans in Wales and England, which set out the investments needed and how water companies will fund these for the next five years. They can be found here

Ofwat’s final determinations will mean an investment programme in Wales of more than £6 billion. I have been clear with Ofwat and the water companies in Wales, that customers expect to see real improvement in services, infrastructure and environmental outcomes as soon as possible. Ofwat has signalled of greater scrutiny of water companies in delivering these plans, and if water companies do not deliver, the money should be returned to water bill payers. I expect Ofwat and Natural Resources Wales to hold the water companies to account and to keep water companies’ progress on delivering their commitments under continuous review. Balancing the need for investment with maintaining water affordability is a key task for Ofwat. Through this Price Review process, Ofwat has indicated that companies need to improve levels of service and to invest to ensure ageing water and wastewater network assets are resilient to cope with climate change and reduce environmental impacts. 

I recognise this comes at a difficult time, and that the performance of the entire water sector is, rightly, under ever-increasing scrutiny. In our Strategic Priorities and Objectives Statement Welsh Government made clear we expect Ofwat to consider affordability for all customers, and in particular affordability for customers who are struggling to pay their water bill, in its regulatory work and we will continue to monitor this closely. I am focussed on ensuring the most vulnerable in society receive support in paying their bills if they need it, and I welcome that Welsh water companies have made commitments to increase the support available to customers experiencing difficulty. Further information on help and support can be found through Advicelink Cymru on 0808 250 5700

This statement is being issued during recess to keep Members informed. Should Members wish me to make a further statement or to answer questions on this when the Senedd returns I would be happy to do so.