House of Lords Industry and Regulators Committee launches major new inquiry into water sector regulator Ofwat

The Committee will consider Ofwat’s performance against its statutory objectives and whether it has the powers and resources needed to meet those objectives. It will also consider the regulator’s relationship with the Government and other regulators.

The Committee is seeking answers to the following questions from interested individuals and organisations:

• Is Ofwat meeting its statutory objectives?
• Are Ofwat’s statutory objectives clear and consistent? How can performance against these be measured? How well does Ofwat manage any trade-offs between its objectives?
• Does Ofwat have the necessary powers to meet its objectives? Does it need greater powers to ensure that water companies reduce sewage overflows?
• Does Ofwat have the necessary resources to meet its objectives?
• What are the main challenges facing Ofwat and how well is it meeting them?
• Does Ofwat receive sufficient strategic guidance from the Government on how to balance its objectives?
• How well does Ofwat work with other regulators and authorities to meet joint challenges and overlapping responsibilities?
• How satisfactorily does Ofwat take the consumer interest into account?
• How effective is Ofwat’s Price Review process?
• In its engagement with the water industry, does Ofwat strike the right balance between being open to industry input whilst also providing robust regulatory oversight?
• Does Ofwat sufficiently consider the long term in its regulation? Does Ofwat strike a balance between more visible, short-term issues and long-term considerations?

Deadline to submit written responses to the inquiry is Friday 24 June 2022 – click here to access the Call for Evidence