Source · Select Committees · Public Accounts Committee
Recommendation 28
28
Acknowledged
Defra accepts interim report calling for water sector reset, creating uncertainty impacting credit-worthiness.
Conclusion
Defra told us that the Commission’s interim report says that the sector needs a reset in its strategic planning, legislative framework, regulatory framework, water company structures, governance, assets and resilience.94 Defra told us that it fully accepted the contents of the interim report, and had big changes to make.95 In 2024, Moody’s cited the uncertainty associated with the government review of the sector as one of the reasons it downgraded the credit-worthiness of the whole sector.96
Government Response Summary
The government agrees the sector needs a reset and is considering the Water Reform Committee's recommendations, with next steps to be set out in due course.
Government Response
Acknowledged
HM Government
Acknowledged
The Government agrees that the sector needs a reset in its strategic planning, legislative framework, regulatory framework, water company structures, governance, assets and resilience. The Water Reform Committee’s final report, published in March 2024, made a number of recommendations in these areas. The Government is considering these recommendations carefully and will set out its next steps on water reform in due course.