The UK water regulator proposed substantial fines totalling £168 million for three of England’s largest water companies due to their failure to manage river pollution effectively. Thames Water, which is currently grappling with a financial crisis, faces the largest penalty of £104 million. Yorkshire Water and Northumbrian Water are also being fined £47 million and £17 million, respectively.
On August 6, the Office of Water Services (Ofwat) revealed a “catalogue of failure” by these companies concerning their management of wastewater treatment and sewer networks, including their handling of storm overflows.
Ofwat’s Chief Executive, David Black, commented, “Ofwat has uncovered a catalogue of failure by Thames Water, Yorkshire Water, and Northumbrian Water in how they ran their sewage works, resulting in excessive spills from storm overflows.”
He added, “Our investigation has shown how they routinely released sewage into our rivers and seas, rather than ensuring that this only happens in exceptional circumstances as the law intends. The level of penalties we intend to impose signals both the severity of the failings and our determination to take action to ensure water companies do more to deliver cleaner rivers and seas.”
Ofwat is pushing for these companies to quickly address their failures and improve their environmental practices. Looking ahead, Black emphasised, “Looking to the future, we want to transform companies’ performance under our new price control that starts in April next year, so we reduce spills from sewage overflows by 44 per cent by 2030 compared to 2021 levels.”
The proposed fines stem from Ofwat’s most extensive investigation into the water industry to date. These penalties are related to the firms’ inadequate management of wastewater treatment and sewer systems, which have been criticised for excessive pollution discharge into rivers.
In the UK, the combined sewerage system carries both rainwater and wastewater from various sources through the same pipes. Typically, wastewater is directed to sewage treatment works, but during heavy rainfall, capacity can be exceeded. This may lead to the discharge of excess wastewater into the sea and rivers from combined sewer overflows (CSOs).
However, Ofwat reports that some companies have “routinely released sewage” even outside of heavy rain periods, which is illegal without rainwater to dilute the waste. The proposed fines are not yet final; the companies have until early September to appeal before Ofwat makes its final decision.
Ofwat determined that the firms “failed to ensure that discharges of untreated wastewater from storm overflows occur only in exceptional circumstances, which has resulted in harm to the environment and their customers.”#
It noted a “strong correlation” between high spill levels and operational issues at the firms’ treatment sites, suggesting inadequate maintenance and failure to upgrade necessary infrastructure.
The breakdown of issues includes:
Thames Water: Over two-thirds of its wastewater treatment works with Flow to Full Treatment (FFT) permits faced capacity and operational issues, and one-sixth of its storm overflows were non-compliant.
Yorkshire Water: 16% of its wastewater treatment works had operational issues, and 45% of its storm overflows were in breach.
Northumbrian Water: 3% of its wastewater works had issues, with 9% of storm overflows in breach.
Black assured that the fines will be borne by the companies’ investors, not the customers, as “we set the rules on what charges they can recover from customers, so we make absolutely no provision for fines in the levels of bills that are set for customers.”
Environment Secretary, Steve Reed, welcomed the proposed fines, stating, “The unacceptable destruction of our waterways should never have been allowed – and it is right that those responsible for illegally polluting our rivers, lakes, and seas face the consequences.”
Charles Watson, Chair of the campaign group River Action, expressed optimism about the penalties: “Thankfully the water regulator, for so long toothless, is finally waking up to the scale of the public’s outrage and we are starting to see some meaningful penalties being imposed upon the worst offenders.” He also criticised the companies for paying out billions in dividends.
In May 2024, leading UK engineers and scientists highlighted the growing public health risks from human waste in rivers, advocating for more frequent testing.
Contaminants like bacteria and viruses can cause serious health issues, such as salmonella, E. coli, and hepatitis A. Additionally, a contamination incident in Devon in May 2024 led to a bottled water advisory due to cryptosporidium.
While routine monitoring of sewage spills is relatively recent, long-term water quality data show that overall water quality varies significantly.
The Environment Agency reported in May 2023 that only 16% of England’s surface waters met “good” ecological status, with regional variations:
14% of rivers and lakes
19% of estuaries
45% of coastal waters
93% of designated bathing waters
Other parts of the UK generally fare better, with Scotland having about two-thirds of its surface waters at “good” status, Wales at 40%, and Northern Ireland at 31%.
Elham Asaad Buaras
