Special Measures Act becomes law

The Water (Special Measures) Act 2025 has been signed into law.

Defra flagged the following as headline outcomes to be delivered by the legislation: 

• Enhanced enforcement powers: the Environment Agency can bring criminal charges against water executives who break the law; bosses could face imprisonment where their companies fail to cooperate or obstruct investigations. Companies will bear the cost of enforcement action.  

• Ban on bonuses: powers for Ofwat to set rules prohibiting the payment of executive bonuses if companies fail to meet high standards for customers and the environment.

• Automatic penalties: for a range of offences, allowing regulators to issue penalties more quickly without lengthy investigations.   

• Independent monitoring: of every emergency sewage outlet, with data independently scrutinised and made publicly available within an hour of sewage spills occurring.   

• Pollution Incident Reduction Plans (PIRPs): water companies in England will be required to publish annual Pollution Incident Reduction Plans and report regularly on their progress.