01
About the Utility
Anglian Water Services Limited provides drinking water and water recycling services across the East of England, a region its climate disclosure describes as particularly vulnerable to climate change. The Drinking Water Inspectorate recorded a supplied population of 4,734,000 in 2020, and the company counts itself among the biggest energy users in the region. Ofwat sets its expenditure allowances through periodic price reviews, the Inspectorate oversees drinking water quality and the Environment Agency assesses its environmental performance, so the company answers to three regulators at once. The current settlement, covering 2025 to 2030, was referred to the Competition and Markets Authority for redetermination at the company’s request.
02
Water System
Supply rests on a balance of surface water and groundwater, with a further share drawn from mixed sources. Pressure on that balance is growing. The company describes the East of England as on the front line of climate change, and its adaptation reporting is framed by Grafham Water during the 2022 drought. Leakage is the main lever on demand: the water resources plan forecasts a 29% reduction by 2038 from a 2019/20 base of 193.3 Ml/d. Regulators have made delivery the test, jointly asking the company in 2025 to begin its plan’s commitments and investments straight away.
03
Wastewater System
Water recycling is where performance has slipped furthest. Environment Agency data show pollution incidents rising from 236 in 2016 to 482 in 2024, a year the agency identifies as significantly higher than the average for the period. Foul sewers and pumping stations were the largest sources in its breakdown by asset. Serious incidents moved the other way and reached the lowest level in the series. Ofwat’s final determination also challenges the company to cut external sewer flooding by 9% over the new control period, so network resilience sits alongside environmental improvement in the programme.
Pollution incidents (category 1 to 3)
Annual number of category 1–3 pollution incidents, 2016–2024
Reported actuals from one Environment Agency table on one basis; 2024 is identified by the agency as significantly higher than the period average. Includes sewerage and water supply assets.
Sources: Environment Agency, Data annex: water and sewerage companies in England pollution incidents (category 1 to 3) for 2016 to 2024.04
Investment & Priorities
Investment has stepped up sharply between price controls. Over 2020 to 2025 the company planned £3 billion of capital investment to protect the environment, build climate resilience and accommodate rapid population growth. For the current period, Ofwat’s final determination set total expenditure at £11 billion, up from £9.4 billion at draft stage. The company sought a redetermination, and the Competition and Markets Authority reported in March 2026. These figures are allowances and plans, not outturn spending.
05
Sustainability & Resilience
Decarbonisation runs alongside the resource challenge. The company aims to be a net zero carbon business by 2030 and to cut the carbon in building and maintaining its assets by 70%. On-site renewables play a part: its largest solar array, at Grafham, supplies over a quarter of the energy needs of one of its largest water treatment works. For the current control period it plans to invest about £75 million in decarbonisation, while the previous price review funded more than one million smart meters to promote water efficiency.
06
Key Challenges
- Securing water resources for a growing, climate-exposed region as regulators press for early delivery.
- Reducing leakage by 29% by 2038 from its 2019/20 level.
- Reversing the rise in pollution incidents from sewers and pumping stations.
- Delivering an £11 billion programme under a contested settlement.
- Reaching net zero carbon by 2030 as a major regional energy user.