The UK government has taken significant steps to streamline the planning process for water infrastructure projects, which are poised to undergo transformative investment and development through to 2030. On 8 July 2025, Emma Hardy, the Department for Environment, Food and Rural Affairs (Defra) minister for water and flooding, announced an update to the National Policy Statement for Water Resources Infrastructure. This revision removes the requirement to reassess the ‘need’ for water infrastructure projects at the examination stage of development consent order (DCO) applications, provided these projects are included in the final water resources management plans (WRMPs).
The WRMPs, which set out infrastructure needs for the next 25 years and are refreshed every five years, undergo extensive public consultation and regulatory scrutiny before approval by Defra’s Secretary of State. By establishing a clearer link between these plans and the consenting process, the government intends to speed up decision-making, reduce planning delays, and offer greater certainty to developers and investors, effectively accelerating delivery of critical water supply projects.
This regulatory adjustment comes amid an unprecedented £104 billion investment approved by Ofwat, the economic regulator, for the eighth Asset Management Period (AMP8) running from 2025 to 2030. This major boost nearly doubles previous sector spending and targets the modernisation and resilience enhancement of water infrastructure across England and Wales. The investment plan supports over 30 major infrastructure projects, including the construction of new reservoirs, large-scale water transfer schemes, and extensive nature-based solutions designed to reduce sewage spills and improve biodiversity.
Ofwat’s roadmap includes £12 billion aimed at storm overflow improvements and £6 billion dedicated to pollution control upgrades, with an additional £3.3 billion earmarked for environmental restorations through nature-based approaches. More than £2 billion of this funding unlocks investment for large infrastructure projects that are vital for adapting to climate change’s growing impacts, ensuring water security for a rising population, and fostering sustained economic growth.
Infrastructure and civils industry leaders have welcomed the government’s move to simplify the planning regime. Ben Brittain, director of public affairs at the Association for Consultancy and Engineering and the Environmental Industries Commission, emphasised the importance of removing redundant assessments for projects already deemed necessary in statutory plans. He highlighted that parts of the country face increasing drought threats and ageing infrastructure, making efficient planning processes essential to meet growing demand while protecting water resources.
Similarly, Lorraine Gregory, Midlands director of the Civil Engineering Contractors Association (Ceca), called the update a significant step towards reducing delays and complexity in project consent. She noted that formally embedding project ‘need’ within statutory policy reduces risks for investors and provides clearer direction for communities impacted by these critical developments.
Beyond planning reforms, the sector’s investment strategy also aims to address pressing environmental challenges by reducing pollution, improving river water quality, and enhancing overall ecosystem health. Initiatives are expected to create over 30,000 new jobs and thousands of apprenticeships, underlining the role of water infrastructure investment in supporting regional economies and workforce development.
The government’s Integrated Plan for Water, supported by earlier commitments such as a £1.6 billion funding boost in 2023 targeting pollution and drought resilience, reflects a comprehensive approach to securing cleaner, more reliable water supplies for future generations.
As these developments unfold, the sector aims to mitigate a predicted shortfall of five billion litres per day by 2055 through coordinated projects driven by Ofwat, the Environment Agency, and the Drinking Water Inspectorate. The Regulators’ Alliance for Progressing Infrastructure Development (RAPID) programme, expanded recently to cover 28 schemes with over £2 billion allocated, exemplifies this collaborative effort to expedite delivery of reservoirs, water transfer systems, and other innovative solutions.
Customers are expected to see an average annual increase of around £31 in water bills over the next five years to fund these enhancements, with companies committed to supporting vulnerable households through targeted financial assistance.
This integrated policy and investment framework marks a decisive shift towards building a water infrastructure network that is resilient, environmentally sustainable, and capable of underpinning England and Wales’s growth and ecological health for decades to come.
Source: Noah Wire Services
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