Correspondence

Letter to Ofwat regarding water industry category 1 incidents

Published 6 June 2025

To: David Black, Chief Executive, Ofwat

4 June 2025

Water industry category 1 incidents

I am writing regarding the Ofwat performance related executive pay (PRP) prohibition rules.

For 2024 I understand the environment rule states that water companies should prohibit PRP where they have either:

i) Been rated 1-star by the Environment Agency Environment Performance Assessment (EPA) and /or

ii) Recorded an EPA Category 1 incident during 2024.

I am providing the Environment Agency’s verified data on Category 1 incidents, which will be included in the EPA report for 2024. The full EPA report for 2025 will be published in October 2025.

Category 1 incidents are the most serious incidents, having caused significant impacts to the environment and/or people. The water companies that had Category 1 incidents during 2024 are detailed in Table 1 below.

Your sincerely

Philip Duffy

Chief Executive, Environment Agency

Cc David Hill, DG, Strategy and Water, Defra

Table 1: verified environment performance assessment category 1 incidents for 2024

Company Number of category 1 incidents Date Location
Anglian Water Services 1 September Peterborough
Southern Water Services 1 August New Forest District
Thames Water 7 January Three Rivers District
    January Chiltern District
    February Slough
    April Enfield London Borough
    April Sevenoaks District
    November Reigate and Banstead District
    December Runnymede District
Yorkshire Water 1 December Bolton
United Utilities 1 December Kirklees District