Southern Water's tender for two water recycling plants at Littlehampton and Medway, able to supply up to 33.4 million litres a day of purified recycled water in drought, closes on 1 April 2027. The listing was published on 19 December 2025.
A second, larger contract is in market engagement
The Hampshire Water Transfer and Water Recycling Project is moving towards a separate procurement under Ofwat's Direct Procurement for Customers model. Southern Water released its fourth market engagement notice on 6 October 2026. The listing describes a 30-year contract to design, build, finance, operate and maintain the scheme, with an estimated term from 11 September 2029 to 31 March 2059. In 2024 the company described it as a £1.3 billion construction contract opportunity. Its development consent examination begins after a preliminary meeting held on 11 November 2026.
Sandown waits on planning and Ofwat
On the Isle of Wight, the Sandown water recycling scheme still awaits a planning decision. It is among the schemes in Ofwat's £749 million cost change draft for Southern Water, which is due for a final decision in December 2026.
Why the timing matters
Hampshire and the Isle of Wight have been under a hosepipe ban since 10 July 2026, and drought order applications for the River Test and a non-essential use ban await the Secretary of State. The regulators put Southern Water's 2025-30 investment programme at around £8.9 billion.
Which framework holders already control most capital work, how to register for Southern Water's tenders, and which supplier categories rank highest are covered in the brief. The full report, Southern Water: Utility Account Brief, is available for USD 499. For a free overview, read the Southern Water Utility Snapshot.