Policy paper

Nationalising the water sector: how we assessed the cost

Describes the assumptions and approach Defra used to estimate the cost of nationalisation

Applies to England and Wales

Documents

Details

The Department for Environment, Food and Rural Affairs (Defra) has estimated that the current cost of nationalising the water industry would be around £100 billion. Other commentators have published alternative figures.

This technical note details the assumptions and approach that Defra has taken to reach its estimate.

Updates to this page

Published 16 September 2025

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