Failing water sector needs stronger regulation, review says

The water sector in England and Wales is facing significant challenges, with a landmark review calling for stronger regulation to address pollution, financial difficulties, and infrastructure failures. Led by former Bank of England deputy governor Sir Jon Cunliffe, the interim findings highlight the need for clearer government direction, improved long-term investment approaches, and enhanced community involvement. The government has ruled out nationalization as a solution, with calls for new legislation to address deep-rooted systemic failures in the water industry. Environment Secretary Steve Reed has acknowledged the system as "broken" and committed to a full response to the commission's recommendations later this summer.