Ofwat opens the second Water Discovery Challenge

(by Karma Loveday)

Ofwat will open the second Water Discovery Challenge tomorrow (20 January), for innovators from outside of the water sector to secure a share of a £7.5m pot, to progress new ideas for the sector. 

Any UK-registered entity from any country or sector (there is no requirement for water company partnership or sponsorship) can compete to be one of 20 finalists, each receiving up to £100,000 in June 2026 as seed funding, plus a package of non-financial support and sector mentorship to develop their solutions.

From this cohort, ten winning teams will go on to be awarded up to £550,000 in funding in April 2027 to further develop their solutions, and an additional five-month package of non-financial support and sector mentorship.

The model follows the first Water Discovery Challenge, held in 2023. The challenge is run by innovation prize expert Challenge Works, part of Nesta, in partnership with Arup and Isle Utilities. Entry is open until 8 April. 

Meanwhile, Ofwat’s first Water Efficiency Lab competition, which is seeking innovative solutions to help people reduce their water consumption, is open to entries until 10 March.