Annex 4

Background

Water companies in England and Wales have been responsible for drinking water supply and wastewater since privatisation in 1989. The Periodic Review (PR), sometime also referred to as Price Review, is Ofwat’s process for determining what water companies can charge customers over the next five years. This has been carried out in five-year cycles for more than 20 years (Ofwat, 2024).

Periodic Reviews & Asset Management Periods

Ofwat’s PRs set price controls and investment for each five-year AMP. The latest, PR24, sets controls for AMP8 (2025–2030) (Ofwat, 2024).

Review	AMP period
PR89	AMP1 (1990–1994)
PR94	AMP2 (1995–1999)
PR99	AMP3 (2000–2004)
PR04	AMP4 (2005–2009)
PR09	AMP5 (2010–2014)
PR14	AMP6 (2015–2019)
PR19	AMP7 (2020–2024)
PR24	AMP8 (2025–2030)

AMP8 & PR24 highlights

• Record investment of around £104 billion approved for 2025–2030 (Ofwat, 2024).

• Expected outcomes include lower leakage, improved resilience and ~45% reduction in storm overflow spills by 2030 (Ofwat, 2024).

• Integration of long-term strategies to align five-year plans with environmental goals (Ofwat, 2025).

WISER & WINEP

Water Industry Strategic Environmental Requirements (WISER) document sets expectations on environmental performance and resilience for PR24 business plans (Environment Agency & Natural England, 2022). The PR24 Water Industry National Environment Programme (WINEP) dataset (issued January 2025) includes 18,598 actions for 2025–2030 (Environment Agency, 2025).

Environment Agency’s delivery role

EA Area teams oversee WINEP delivery, liaising with National River Basin Management Service and water companies. Many measures require permit variations handled by the National Permitting Service (Environment Agency, 2025).

Environment Agency’s checking role

Water companies report annually on WINEP delivery. EA compiles and assesses performance, contributing to Ofwat’s oversight. AMP measure delivery is tracked within the Environmental Performance Assessment (EPA) using updated metrics (Environment Agency, 2025).

River Basin Management Plans (RBMPs) and alignment

RBMPs run on six-year cycles (currently 2022–2027). A mid-cycle interim progress report (Nov 2025) shows ~75% of measures complete or ongoing (Defra, 2025).

References

Environment Agency and Natural Resources Wales (2025) Water and sewerage companies: EPA methodology for 2026 to 2030. GOV.UK. Available at: https://www.gov.uk/government/publications/water-and-sewerage-companies-epa-methodology-for-2026-to-2030  [Accessed 16 Dec 2025].

Environment Agency (2025) PR24 Water Industry National Environment Programme. Defra Data Services Platform. Available at: https://environment.data.gov.uk/dataset/39b11ea0-3cfa-4cbb-b3a1-b5950019f169  [Accessed 16 Dec 2025].

Environment Agency and Natural England (2022) Water industry strategic environmental requirements (WISER). GOV.UK. Available at: https://www.gov.uk/government/publications/developing-the-environmental-resilience-and-flood-risk-actions-for-the-price-review-2024/water-industry-strategic-environmental-requirements-wiser  [Accessed 16 Dec 2025].

Defra (2025) River basin management plans, 2022 to 2027: interim progress report 2025. GOV.UK. Available at: https://www.gov.uk/government/publications/river-basin-management-plans-2022-to-2027-interim-progress-report-2025/river-basin-management-plans-2022-to-2027-interim-progress-report-2025  [Accessed 16 Dec 2025].

Ofwat (2024) PR24 final determinations: sector summary. Ofwat. Available at: https://www.ofwat.gov.uk/wp-content/uploads/2024/12/PR24-FD-sector-summary.pdf  [Accessed 16 Dec 2025].

Ofwat (2024) Ofwat approves £104bn upgrade to accelerate delivery of cleaner rivers and seas and secure long-term drinking water supplies for customers. Ofwat News Centre. Available at: https://www.ofwat.gov.uk/ofwat-approves-104bn-upgrade-to-accelerate-delivery-of-cleaner-rivers-and-seas-and-secure-long-term-drinking-water-supplies-for-customers/  [Acc