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Utilities

Thames Water and rivals face record fines for sewage issues

Three water companies are facing multimillion-pound fines by the UK water regulator after it was found they had made serious failings in limiting the flow of untreated sewage into rivers and seas.

Reaching a combined record fine of £168 million, Ofwat is proposing to issue a £104 million penalty for Thames Water, which is already facing the prospect of losing its licence due to its flagging debt rating.

Also potentially receiving fines are Yorkshire Water, facing a £47 million fine, and Northumbria Water, £17 million.

It follows an investigation by Ofwat into how the companies manage their sewage and wider networks, with the regulator now moving into a consultation period before confirming the amount for the fines.

The regulator's chief executive David Black said: "Ofwat has uncovered a catalogue of failure by Thames Water, Yorkshire Water and Northumbrian Water in how they ran their sewage works and this resulted in excessive spills from storm overflows.

"Our investigation has shown how they routinely released sewage into our rivers and seas, rather than ensuring that this only happens in exceptional circumstances as the law intends."

Ofwat said it found that all three companies failed to ensure that discharges of untreated wastewater from storm overflows occur only in exceptional circumstances; showed a "strong correlation" between high spill levels and operational issues at wastewater treatment sites; failed to upgrade assets where necessary; and were "slow to understand the scope of their obligations" relating to limiting pollution from storm overflows.

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