Analysis

Wessex Water Has Spent Two Years at Two Stars

The Environment Agency rated Wessex Water 2 stars for 2025, down from 4 in 2023. Pollution incidents were 46.93 per 10,000 km against a 25.02 target.

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The Environment Agency rated Wessex Water 2 stars, "Company requires improvement", for 2025, its second year at that level after a 4-star "Industry leading company" rating in 2023.

Pollution falling, but far from target

Total pollution incidents fell to 46.93 per 10,000 km of sewer in 2025, from 62.10 in 2024, against a target of 25.02. The Environment Agency counted 164 incidents in 2025, when 68 or fewer were needed for a green rating. Serious pollution incidents rose to 4, from 0 in 2024.

Money flowing the wrong way

In 2025-26 Wessex Water earned £13.5 million in outperformance payments but incurred £17.4 million in underperformance payments, a net £3.9 million against the company. Discharge permit compliance slipped to 98.71% in 2025, from 99.68% in 2024, against a 100% target.

Some lines moved the right way

Spills per monitored storm overflow fell to 21.08 in 2025 from 33.64 in 2024 and beat the 21.89 target. Sewer collapses ran at 4.79 per 1,000 km in 2025-26, inside a target of 6.15. The company's May 2023 drainage plan counts 1,300 storm overflows in the Wessex area.

A regulator on its way out

Government announced on 21 July 2025 that Ofwat will be abolished and its functions merged with the water functions of the Environment Agency, Natural England and the Drinking Water Inspectorate. Existing regulators keep their full powers until the new body is set up, and the January 2026 white paper keeps price reviews on a five-year cycle.

Whether Wessex Water can bring pollution toward target, how the drought and a 76.98 Ml/d leakage level test its network, and what a Baa2 credit rating means for its 2025-30 program are examined in the full report. The full report, Water Utility of the Future: Wessex Water, is available for USD 499. For a free overview, read the Wessex Water Utility Snapshot.

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