Ofwat has approved £104 billion of investment by water companies in England and Wales over the next five years. The level of the final determinations is close to the £105 billion the industry initially requested, and far more than the £88 billion Ofwat proposed in its draft determination.

Photo credit: Alaur Rahman

Key elements of the investment package, which also reflect the UK and Welsh Governments’ stated priorities for the sector, include:

• £12bn on 2,884 projects reducing spills from storm overflows;
• £6 billion of upgrades to combat nutrient pollution for around 1,000 sites and catchments;
• £3.3bn on nature-based solutions and increasing biodiversity;
• £2bn of development funding to unlock £50bn investment for 30 major projects designed to secure water supplies including nine new reservoirs and nine large-scale water transfer schemes;
• £456m of extra funding on day-to-day allowances to increase the rate at which water mains are replaced, with 8,445km set to be improved over the next five years.

Ofwat approves £104bn upgrade to accelerate delivery of cleaner rivers and seas and secure long-term drinking water supplies for customers – Ofwat

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