Demand reduction must fill up to 80% of the water supply gap before 2040

We will be short of at least 6bn litres of water a day by 2055 without urgent action, according to the Environment Agency’s (EA) updated assessment of long-term water needs.

The second National Framework set out that this deficit included 5bn litres for public water supply (PWS) and 1bn for non-PWS (although the lack of available data on some sectors’ likely consumption – notably data centres – suggests the non PWS gap could be substantially larger). The gap is driven by the four elements previously identified – environmental destinations, drought resilience, population growth and climate change – supplemented by government growth ambitions. 

More than 60% of the deficit will need to be addressed through demand management and leakage reduction overall. But before 2040, when supply side schemes start to come online, up to 80% of the deficit will need to be demand-side addressed – through leakage control, smart metering and consumer water efficiency.

The news came as water companies across the country were faced with surging demand during last week’s heatwave. The report warned that delivery of demand management measures is reliant on upscaled government policies being implemented and sustained, as well as timely delivery of actions by water companies. It cautioned: “Without action, there is a likelihood of environmental damage, restricted economic growth, interruptions to supplies and a lack of resilience in the energy sector.”

The National Framework championed integrated water planning; stronger links with local development planning; and further development of regional water resources planning. 

• Defra, Ofwat and the EA have written jointly to each water company urging them to start delivering their Water Resource Management Plan (WRMP) commitments “straight away”. The letters pointed out: “Meeting the commitments you have made in the first five years of the WRMP planning period is crucial for supporting the nation’s growth mission, enabling nature to flourish, and meeting the longer-term challenges of climate change and improved drought resilience. Ensuring WRMP delivery so that growth and development is not constrained is essential for the Government’s plans.”

• The EA has issued a new drought plan guideline to English water undertakers. It provides technical guidance for water companies and New Appointments and Variations (NAVs) and also covers the requirements for water retailers.