A Watershed Moment
Welcoming the End of Ofwat and the Birth of a Unified Water Regulator
By the Consumer Protection Bureau (CPB) | July 2025
The Government’s decision to scrap Ofwat and replace it with a single, integrated water regulator is not just welcome, it’s long overdue. For too long, water regulation in England and Wales has suffered from fragmentation, toothless oversight, and a disjointed approach that left consumers footing the bill while water companies polluted rivers and raked in profits.
Today marks the beginning of a much-needed reset.
Under the proposed reforms, the functions of Ofwat, the Environment Agency, the Drinking Water Inspectorate, and Natural England will be brought together under one powerful regulatory body. This new authority will have the reach and remit to ensure that water companies finally deliver what the public expects and deserves: cleaner water, fairer prices, and meaningful accountability.
Why this decision matters
For years, consumers have been calling out rising bills, relentless sewage discharges, and opaque regulatory processes. Households have been asked to pay more—up to 36% increases are predicted—while water firms distribute dividends, accumulate debt, and dodge responsibility for chronic pollution.
The scrapping of Ofwat is not simply about replacing a failed regulator. It’s about resetting priorities. It’s about putting consumers and the environment first.
What we welcome most in this reform
Cleaner Waterways and a Healthier Environment
Sewage in our rivers and seas has become a national scandal. With a single body now overseeing environmental and infrastructure compliance, polluters will no longer hide behind regulatory confusion.
Fairer, More Transparent Pricing
For too long, bills have gone up without justification. We welcome the pledge to introduce affordable social tariffs and stronger pricing oversight, so households aren't punished for the failures of the industry.
A Strong, Independent Ombudsman Service
Complaints handling must no longer be a tick-box exercise. The creation of an independent water ombudsman, with teeth, backed by the new regulator, will give consumers the right to swift, fair redress when companies fall short.
Safe, Reliable Drinking Water for All
Merging water quality oversight ensures that public health will no longer be sacrificed to corporate convenience. One regulator will mean clearer standards and better enforcement.
Restored Public Trust Through Unified Oversight
Trust in the sector has reached an all-time low. This new model creates a single line of accountability, where the buck stops, and where enforcement will no longer be delayed by bureaucratic wrangling between agencies.
What comes next?
We at the Consumer Protection Bureau (CPB) will be watching this transition closely. We want to ensure this is not just a cosmetic change but a structural shift. We urge the Government to:
- ⬥ Appoint truly independent leadership for the new regulator.
- ⬥ Guarantee consumer voices are embedded at every level of the new body.
- ⬥ Ensure transparent pricing models that reward efficiency—not corporate excess.
- ⬥ Fund the Ombudsman service properly to support timely resolutions.
- ⬥ Publish a clear implementation timetable and hold water companies to account throughout the transition.
A brighter future is possible
This reform is not just a policy win—it’s a victory for every household that pays a water bill, every swimmer who’s avoided the sea due to pollution, and every community that’s been ignored when raising valid concerns.
If done right, this is a chance to build a modern, consumer-first regulatory system, one that treats water not as a profit centre for a few, but as a public necessity for all.
We welcome this decision. Now, the real work begins.
