Rogue water companies could face fines of £500,000 under new Labour plans

Water companies that commit environmental offences could soon face fines of up to £500,000 under fresh options being considered by the government.

The proposed changes may also see standards of proof for minor and moderate offences reduced from criminal to civil as part of a plan to better hold rogue companies to account.

Cleaning up Britain’s rivers and taking a tougher line against polluters was a Labour manifesto pledge in 2024.

DEFRA Secretary Emma Reynolds said: “I share the public’s anger at the current state of our water system, and this government is taking decisive action.

“I want to give the Environment Agency the teeth it needs to tackle all rule breaking.

With new, automatic and tougher penalties for water companies, there will be swift consequences for offences – including not treating sewage to the required standard and maintenance failures.”

READ MORE: ‘Labour promised to clean up Tory sleaze. That starts with mispent Covid contracts’

The government is also set to consult on introducing automatic penalties – comparable to speeding tickets – for “specific and obvious breaches” of environmental laws.

Proposed figures for this penalty under consideration include £10,000, £15,000 and £20,000.

These fines would be levied for breaches such as failing to report a significant pollution incident within four hours or the use of an emergency overflow more than three times in one year.

If the new civil standard for minor and moderate offences were adopted, the penalties range from £350,000 to as much as £500,000. These offences include failure to maintain equipment, not emptying storm tanks and certain categories of pollution incidents.

The government noted that 98% of permit breaches in the last year fell into the “minor” category.

Subscribe here to our daily newsletter roundup of Labour news, analysis and comment– and follow us on Bluesky, WhatsApp, X and Facebook.

Environment Agency Chair, Alan Lovell, said: “We are dedicated to making sure water companies take full responsibility for environmental harm.

“These changes would be a welcome boost to our current enforcement powers and allow us to deliver swifter and more appropriate penalties.

“Through a larger workforce and upgraded digital tools, we can deter poor performance and achieve a cleaner water environment for communities and nature.”

Share your thoughts. Contribute on this story or tell your own by writing to our Editor. The best letters every week will be published on the site. Find out how to get your letter published.

• • SHARE: If you have anything to share that we should be looking into or publishing about this story – or any other topic involving Labour– contact us (strictly anonymously if you wish) at [email protected].
  • SUBSCRIBE: Sign up to LabourList’s morning email here for the best briefing on everything Labour, every weekday morning.
  • DONATE: If you value our work, please chip in a few pounds a week and become one of our supporters, helping sustain and expand our coverage.
  • PARTNER: If you or your organisation might be interested in partnering with us on sponsored events or projects, email [email protected].
  • ADVERTISE: If your organisation would like to advertise or run sponsored pieces on LabourList‘s daily newsletter or website, contact our exclusive ad partners Total Politics at [email protected].