Hybrid Air Vehicles signs up as Doncaster Chamber’s latest patron

Having announced that it would build its revolutionary aircraft in South Yorkshire, Hybrid Air Vehicles has signed up as the newest patron of Doncaster Chamber. Welcoming them aboard, Dan Fell, Chief Exec of Doncaster Chamber, said: “It is a tremendous honour to have such an innovative and cutting-edge business in our network, one that is doing really important work for the planet. Hybrid Air Vehicles is making huge waves in the world of aviation right now and is set to change the industry for the better with their forward-thinking approach. “Now that they have become patrons, I am pleased to say that we will be working together even more closely. Their imminent expansion into Doncaster will have major economic benefits for the region —  including the creation of more than a thousand highly skilled jobs —  and will put us at the heart of an ambitious vision for a greener future. Suffice it to say, we are very excited to see what that entails.” Headquartered in Bedfordshire, HAV is a pioneer in the field of green aviation technology and is currently making huge strides when it comes to sustainability. In particular, their trailblazing Airlander 10 vehicle — which is part plane and part airship — promises to revolutionise the aerospace industry by showing what can be done to reduce emissions. Capable of boarding 100 people at a time (or ten tonnes of freight) the helium-filled craft is estimated to have a carbon footprint that is up to 90% less than that of a standard jet aircraft. It can also remain airborne for up to 5 days, offering high endurance. It is therefore very exciting to know that these state-of-the-art vehicles will be built right here in Doncaster. Last week saw major progress on that front, as the South Yorkshire Mayoral Combined Authority (SYMCA) approved £7m’s worth of funding that will ultimately pave the way for HAV’s plans. This loan will enable Hybrid Air Vehicles to begin investing in the region, paving the way for a £310m production programme which will lead to new facilities, job opportunities and supply chains for the manufacturing of Airlander 10.  

UK manufacturers urged to ‘think outside the box’ to beat recruitment problems

Leading figures from the UK’s manufacturing industry are being encouraged to think outside the box in a bid to recruit more people and fill a slew of unfilled vacancies up and down the country. That was the message from Laura Ibbotson, Head of HR UK at Doncaster-based Heras, when she addressed delegates at this year’s Make UK – a national conference for manufacturers in London. Laura was one of a panel of experts discussing the topic of Talent: Recruiting Outside the Box, which was looking at ways to reignite the manufacturing industry’s recruitment strategies to overcome the current minute talent pool of candidates available to businesses. Laura, a chartered fellow of the Chartered Institute of Personnel and Development said that forging educational partnerships was fundamental for manufacturers to help create pathways into careers for local young people. “Building strong links with the local community has been one of the strategies that we have employed at Heras – with a focus on educational establishments because it is a great opportunity to showcase the careers available in our industry and create a future talent pipeline. “We have worked extensively with one local academy in particular in Doncaster, which has been reciprocally beneficial in engaging with young people and showing them the vast array of opportunities that are open to them if they pursue a career in manufacturing. “We are in the process of launching our latest initiative: teacher externships, providing teachers with work experience on site so that they can take their experience and learnings back to the classroom.’’ Laura also told the assembled group about how the company uses neuro-linguistic programming profiling to assess if a candidate is right for the role and the team and to ensure the business does not recruit mini-mes. Heras uses this profiling to manage teams to their full potential and to retain them. She also discussed the importance of embracing and using emerging technologies such as Linktree – which allows users to share multiple links on social media. Heras is using this to clearly communicate with candidates and ensure they are fully informed and have a clear understanding of Heras before the interview process commences. Laura rounded off the session by offering three insights:
  • Manufacturers should work more closely with their HR teams.  “Businesses need to change their approach to recruitment, and the best way of achieving this is working with the people experts – your HR department.”
  • Leaders should drive diversity as a way to benefit from employing different people with different skills and experiences. “Many businesses have aspirations on issues such as diversity, but they have to free themselves from entrenched views and ‘if you always do what you always do’ approaches in order to be more accessible and flexible.”
  • Don’t pay lip service to events such as International Women’s Day, ensuring that the drive for diversity happens continuously throughout the year if they want to attract and retain talent. She said: “Live it, breathe it and believe in it.”

British Steel products keep Welsh heritage railway on the right track

Another delivery of rails from British Steel at Scunthorpe is helping a North Wales heritage railway gear up for a new season. The first delivery to the Llangollen Railway in the Dee Valley extended the track by more than two miles; the new delivery will replace two miles of existing track. And later this year, there are plans to start relaying further track, a project that will take around two years. That’s next to the line’s tunnel. It’s 40 years old and has corroded because of its location. The chosen product is ‘Zinoco’ which are coated in zinc, which forms a protective barrier against corrosion, and thanks to latest advances, its super-hydrophobic finish also repels water.  Darren Cole, British Steel’s UK Account Manager for Rail, said: “Maintaining a facility like this is something of a labour of love, heritage lines by their very nature require ongoing care and attention and often rely on a handful of rail enthusiasts. I’m very proud Scunthorpe rail is playing its part in their ongoing story.” Terry Pickthall of the Llangollen Railway said: “Our team, mostly volunteers, is putting the finishing touches to our fantastic new station at Corwen. This impressive facility will be a great asset to our operations and we’re really looking forward to it opening in the summer. “Alongside this, our staff and volunteers are also working hard to keep our existing line in excellent condition. The recent delivery of British Steel 56E1 rail has allowed us to replace a sizeable section of worn rail between our Berwyn and Glyndyfrdwy stations. This part of the line is in the very heart of the Dee Valley Area of Outstanding Natural Beauty and the work has been completed in time for trains to run over new Scunthorpe-made rails during our busy Easter operations in April. We’re hoping the snow we’ve seen in March is replaced with spring flowers by Easter, but either way the valley always looks stunning!” The former British Rail Ruabon to Barmouth line closed to passenger traffic in 1964 with goods traffic ending four years later. In 1975, the heritage railway was started by a group of enthusiasts who saw the potential for a scenic line through the Dee Valley. Terry said “When the line finally closed in 1968, the track, signalling and much of the infrastructure was removed or demolished quickly after. It’s taken a lot of hard work from our enthusiasts over many years and it’s their vision that has led to the fantastic service we offer today.”  

Applications window opens for 2024 Countryside Stewardship payments

Farmers and land managers can now submit applications for the next year’s Countryside Stewardship Mid Tier agreements which will reward them for their actions to protect and enhance the natural environment. Countryside Stewardship gives farmers and land managers the opportunity to be paid for environmental work alongside sustainable food production, from restoring wildlife habitats and managing woodlands, to mitigating flood risks. 32,000 Countryside Stewardship agreements are now in place across England – a 94% increase in uptake since 2020 – including nearly 26,000 Mid Tier agreements. Following farmer feedback, the scheme has continued to evolve and improve with:
  • the removal of the limit on the value of capital items in the water or air quality, hedgerow and boundary, or natural flood management priorities
  • a broadened offer to support natural flood management, create more areas of scrub, and reduce nitrogen inputs in groundwater;
  • improvements to the application process to make it easier for farmers and land managers, with a new online application service, the removal of the need for farmers to request an application pack before starting their application, automatic checks to enable applications to be processed quicker, and an annual declaration.
  • an average increase of 10% for revenue payment rates and 48% for capital payment rates, as announced in January.
The scheme plays an important role in the Government’s efforts to make food production more resilient and efficient whilst contributing towards the UK’s environmental goals on carbon, biodiversity, water quality and net zero. Among the habitats which farmers are already being paid to protect and enhance under Countryside Stewardship are grasslands, which will be the focus of Sir David Attenborough’s Wild Isles documentary this Sunday. More than 50,000 hectares of different types of grassland are already managed under Countryside Stewardship agreements, with a 100,000-plus hectares under Environmental Stewardship agreements. This shows Countryside Stewardship is a key vehicle for delivering significant and important outcomes for the climate and environment, alongside food production, working together with farmers and rural communities. Farming Minister Mark Spencer said: “Countryside Stewardship is already popular amongst farmers, with almost 32,000 people signed up across England and something on offer for every type of farm. “With the latest application window opening today, I urge farmers to take a look at the full range of options and capital items available and consider the improved application process and the removal of the limit on capital grants to see if they could benefit in 2024.”

On the fly: Couple grow worldwide angling business from premises in Selby

A North Yorkshire couple who ditched careers in IT and switched to selling fly-fishing supplies to established retailers and distributors around the world now employ 25 staff and sell to America, Canada, South Africa, Japan, Australia, New Zealand and across Europe. Ann and Andy Kitchener oversee the Selby-based Semperfli, which now has a global market to provide more than 1,400 products including threads, ties, wires and chenilles to create flies to catch species including salmon, trout, sea bass, zander and tarpon. The success of the company, which carved out a reputation in the sector after developing Nano-Silk, billed as the world’s strongest fly-tying thread, saw it receive a Queen’s Award for Enterprise for International Trade. The Kitcheners have been aided by Heidi Green, a senior business advisor at Selby District Council, who helped the couple secure funding for new equipment and advice from consultants to develop the firm. That support has been even more important amid the dramatic rise in inflation that has seen Semperfli experience significant increases in running costs of up to 20 per cent. Ann, the company’s chief exec and herself a keen angler, is one of the Government’s Northern Powerhouse export champions. She said: “We have managed to develop our business around the globe and we now supply to some of the leading fly-tiers in the world – but we wouldn’t have been able to do that without the support we have received from Heidi, who has been absolutely brilliant in providing that valuable insight we have needed. “The launch of the new North Yorkshire Council is a really welcome development, as it will mean that businesses in the county will be able to access advice from one single organisation. “It can be confusing for people to know where to turn, but the new council will still have the local knowledge and expertise that is currently available while looking towards a county-wide plan to drive forward business and the economy. “We have had to contend with rising costs like all businesses have, and we have had to look at the way we operate to take into account increasing prices for shipping, energy and wages. Without the help and advice we have received, the situation would have been a great deal more challenging.” While working alongside Selby District Council, Mr and Mrs Kitchener have identified organisations that have provided funding, including a five-figure grant through the University of York that helped purchase spooling and labelling machinery. The expertise of management consultants has also been used to develop the business, which sells products that are environmentally-friendly to take into account the often sensitive natural habitats where the flies are used, while funding has also been secured from the Department for International Trade. The company now has a 90-strong team of ambassadors across the world including some of the biggest names in fly-fishing and fly-tying. Andy Kitchener said: “One of the biggest challenges we faced when we were setting up was to find suitable premises, because there simply aren’t enough units for businesses locally. “We ended up building the initial premises ourselves close to our home in Selby, but we soon outgrew that. With the growth of our company, we needed to find bigger premises and ultimately found our ideal new base making sure we could stay in the town. “We have some hugely talented and experienced staff, and we didn’t want to lose them if we had decided to move elsewhere. The new premises are fit for purpose to help the business develop, and there is low-energy lighting and insulation and we are looking to install solar panels which will help keep running costs down as well as lessen the impact on the environment. “We have developed a real reputation globally, which is of benefit to not just Selby, but also the economy in North Yorkshire and nationally. North Yorkshire is home to such a varied and diverse mix of businesses, and that is what makes the county so special. We are indebted to the help we have received, and to know that expertise will be available in the future is vital to ensure we can continue to grow the business.”

Mayor Tracy Brabin joins local business leaders to support Yorkshire’s ethnic minority business

Key business leaders in West Yorkshire joined Mayor Tracy Brabin and NatWest to discuss advancing the growth potential of ethnic minority businesses in the region. The event brought together business leaders and entrepreneurs in Leeds to launch the ‘Time to Change: A blueprint for advancing the UK’s ethnic minority businesses’ report in the region. The report, compiled by Aston University’s Centre for Research in Ethnic Minority Entrepreneurship (CREME) in partnership with NatWest, identifies that with the right action, ethnic minority businesses have the potential to bring a £100 billion boost to the UK economy, setting out 10 evidenced-based recommendations to advance their growth potential. The event focused on how to remove the barriers to enterprise identified in the report that are faced by entrepreneurs from black, Asian and minority ethnic backgrounds when it comes to starting and growing their business. Barriers highlighted in the report include perceived challenges in accessing finance, with a lack of personal funding at the business start-up stage compounded by a fear of applying for finance and business support because of worries of rejection. The report also outlines that a lack of trust is cited as a factor in ethnic minority business owners choosing not to seek formal business support, recommending that collaboration at a local level between finance providers, community organisations, ethnic minority-led groups and public sector organisations, is key to breaking down barriers, building a stronger network of support and boosting business survival and growth. West Yorkshire Mayor Tracy Brabin said: “Creating more opportunities for people from all backgrounds to make the most of their skills and talent is vital to the success of West Yorkshire’s economic growth.  We know that ethnic minority businesses face real challenges in today’s world of work, and I look forward to seeing the actions from this report lead to positive change.” Paul Thwaite, Chief Executive Officer of Commercial & Institutional at NatWest, said: “We are really proud to support Aston University’s Centre for Research in Ethnic Minority Entrepreneurship in the development of the Time to Change report and I’m pleased we have had the opportunity to launch the report in Yorkshire and meet with local business leaders and entrepreneurs. “As a bank, we recognise that there is no one-size fits all approach for supporting ethnic minority-owned businesses and our ongoing partnerships with Yorkshire organisations such as Northern Asian Power recognise that local knowledge is key to providing the right support at the right time. As demonstrated so clearly today, it is only by working together at a local level that we can support ethnic minority business owners to achieve their full potential and thrive.” Attendees also heard from Professor Monder Ram, director of the Centre for Research in Ethnic Minority Entrepreneurship at Aston Business School on how a more inclusive approach to enterprise is key to tackling wider social structural barriers such as unequal access to employment opportunities and gender and ethnicity pay gaps. Professor Ram said: “I’m delighted that Mayor Tracey Brabin has joined so many others in endorsing the recommendations in CREME’s report to develop a transformational agenda to support the UK’s ethnic minority entrepreneurs. We have a great opportunity to work together to secure a £100 billion boost to the economy by supporting black and ethnic minority entrepreneurs to grow their businesses.” NatWest has committed to channelling 20% of business support to ethnic minority businesses. In 2022, 34% of businesses supported by the bank’s Accelerator business building programme were from ethnic minority backgrounds. Leeds is home to one of thirteen NatWest Accelerator hubs, which support and empowers UK entrepreneurs to scale their businesses to the next level, helping businesses gain the knowledge and skills to excel in a range of business areas.

Leeds estate agent pens open letter to Michael Gove urging government to help PRS tenants

Leeds estate agent HOP has written an open letter to Michael Gove, urging the Government to address the chronic shortage of rental properties available in the private rented sector (PRS), which is driving rents up and making life increasingly difficult for tenants. The letter to the Secretary of State for Levelling Up, Housing and Communities, follows a consultation with HOP’s landlord clients, tenants and other industry professionals working in the PRS. As well as addressing the current challenges, the letter offers recommendations about how the Government could slow the exodus of landlords who are selling investment properties and exiting the market. HOP manages one of West Yorkshire’s largest rentals portfolios, worth more than £245 million, and expects rents to increase by another 7% in 2023, which follows a 10% rise in 2022. The company’s recommendations include:-
  • Removing the 3% additional homes stamp duty and instead charge landlords selling additional homes the 3% stamp duty levy, to incentivise landlords to purchase new buy to let (BTL) properties.
  • Incentivising the transfer of BTL property into limited company ownership by removing the 3% stamp duty levy for a 12-month period. This would enable landlords to pay tax on profit rather than revenue and would help to professionalise the industry further.
  • Providing more certainty over upcoming rental reforms and streamlining and simplifying the Section 8 eviction process. This would enable landlords to evict bad tenants and ease their concerns about the removal of Section 21s.
Luke Gidney, managing director at HOP, which has offices in Leeds city centre, Horsforth and Pudsey explained: “Legislation, red tape and tax changes that were all designed to make buy to let (BTL) properties less appealing to landlords, have had a bigger impact on the rentals market than anyone could have imagined. Unfortunately, Chancellor Jeremy Hunt had an opportunity to address this in the Budget but failed to do so. “We’re now in a position where demand for rental property is higher than it’s ever been, and tenants are finding themselves in fierce competitions for available properties and having to pay record rents, which comes against a backdrop of sky-high energy bills and the cost of living crisis. Plus, tenants now often find themselves stuck wherever they’re living and are moving less regularly, for fear of not being able to find and secure another suitable home. “More housing stock in the private rented sector would give tenants more choice and ease the burden on rents. It’s a critical situation and although we primarily represent our landlord clients, it’s also important that our tenants, and thousands like them, have a voice as well. We hope the Government will listen to the views of the industry, as well as our recommendations, and take steps to ease the problem.” The open letter reads… Open letter to Secretary of State for Levelling Up, Housing and Communities regarding the private rented sector in the UK. Dear Michael Gove, I am writing to you as the managing director of one of Leeds’ largest letting agents, which manages a large property portfolio in the area. Although we manage these properties on behalf of our landlord clients, I’m actually writing on behalf of our tenants, and millions of people like them in the UK, who live in the private rented sector. In recent years the raft of legislation, red tape and tax changes designed to make buy to let (BTL) properties less appealing to landlords, combined with upcoming rental reforms, Section 24 tax, changes to capital gains tax thresholds and EPC legislation, have had a profound impact on the rentals market, with huge numbers of landlords selling their investment properties. Although this was the aim of these changes, and some former tenants have had the chance to get on the housing ladder as a result, the shortage of available homes in the private rented sector has now reached a critical point. Research from estate agency data specialist, TwentyEA, shows that during 2022, supply volumes reduced by 8% year-on-year and 25% since 2019. Analysis of HMRC data by chartered accountant, UHY Hacker Young also found that the UK lost 116,000 BTL properties in the last year alone, and as landlords face being squeezed by rising mortgage costs, we can already see that this exodus will continue in 2023. Eroding landlords’ margins has had the desired effect and made BTL a far less appealing asset class, but tenants are suffering as a result. This includes the many people who live in private rented property, either because they specifically want a short-term home, or enjoy the freedom it offers, or they don’t have a deposit to get on the property ladder. Tenant demand for rental property is up by 10 to 12% nationally according to Rightmove, and this has pushed rents up by 10% annually in recent years and we’re forecasting that they’ll increase by a further 7% in 2023 in West Yorkshire alone. Potential tenants now regularly have to bid against each other to secure rental properties, which is driving rents up further, and it’s a similar story across the UK. Plus, when all this is combined with soaring energy bills and the cost of living crisis, it’s likely that more tenants could slip into arrears and find themselves in financial hardship. The problem is predominantly due to a chronic undersupply of private rental stock due to landlords leaving the industry. Void periods between tenants are now just five days on average in West Yorkshire and tenants are generally staying longer in properties and moving less, for fear of being unable to find a replacement property. Approximately half of tenants now report being worried about the difficulty of finding a home to rent. This huge imbalance in supply and demand is also allowing unscrupulous landlords to get away with letting out poor quality homes and generally leading to a decline in the quality of rented housing, as landlords don’t need to upgrade properties in order to secure suitable tenants for their properties.  If there was more housing stock available in the private rented sector it would give tenants more choice and ease the burden on rents. A petition is now calling on the government to reverse the Section 24 tax changes for BTL landlords, which prevent them claiming mortgage interest against their tax liability. However, after consulting with our team and landlord clients, we have an alternative and potentially more workable recommendation. One immediate way to stem the tide would be to remove the 3% additional homes stamp duty and instead charge landlords selling additional homes the 3% stamp duty levy. This would incentivise landlords to purchase new BTL properties. I would also recommend incentivising the transfer of BTL property into limited company ownership by removing the 3% stamp duty levy for a 12-month period. This would enable landlords to pay tax on profit rather than revenue and would help to professionalise the industry further. As well as this, landlords would benefit from more certainty over upcoming rental reforms. Streamlining and simplifying the Section 8 eviction process so that landlords can evict bad tenants would help to remove the concerns landlords have about the removal of Section 21s. Finally, simplifying the planning process so that small builders and developers can build more homes would also benefit and support tenants and buyers, alongside whole swathes of the wider economy. I hope you find this letter constructive and look forward to hearing of any progress made and of course, if you, or any of your colleagues, would like to discuss further, please feel free to contact me.

New council aims to burst on the scene with business advice for its 32,000 SMEs

Creation of the new North Yorkshire Council, which will take control in the region on April 1st, is being seen as a defining opportunity to co-ordinate economic development in the county. And the thousands of independent businesses forming the foundations of North Yorkshire’s economy are to be offered support to help them navigate dramatic rises in running costs amid the soaring rate of inflation. Support for businesses will be a key role for the new North Yorkshire Council, says Executive member for open to business, Cllr Derek Bastiman: “The thousands of SMEs across North Yorkshire are vital for the county’s economic prosperity. “There have been unprecedented challenges in recent years which have placed huge pressures on all businesses, whether that be down to the Covid-19 pandemic or the rising inflation which everyone has seen during the cost of living crisis. “The new council will provide us with an opportunity to bring together the experience, expertise and good practice that already exists across all the authorities in North Yorkshire. This will mean that there will be one point of contact for businesses to access support for skills, training, recruitment and access to funding, which will be of a huge benefit at such a challenging time economically.” The new council is developing a clear economic growth strategy while consulting with businesses and stakeholders across North Yorkshire. It will also help achieve an ambition for York and North Yorkshire to become the country’s first carbon negative region, meaning more carbon dioxide emissions would be removed from the atmosphere than are emitted. The new council will be launched on April 1 and involve a merger of existing seven district and borough authorities in the biggest shake-up of local government since 1974 to pave the way for a devolution deal. The council says it will work alongside the county’s six MPs to lobby the Government for the best possible opportunities for businesses, ensuring that Ministers understand the issues that affect the county’s economy. The new council will continue to work in close partnership with the York & North Yorkshire Local Enterprise Partnership (LEP), as well as City of York Council, as they prepare for the proposed mayoral combined authority. Benefits already realised through a proposed devolution deal announced by the Government last year are £12.9 million for housing through the Brownfield Housing Fund and £7 million for low-carbon projects via the Net Zero Fund, both of which have been launched in York and North Yorkshire. LEP Chair Helen Simpson said: “We’re excited to continue this collaborative working with the new North Yorkshire Council and ensure that business support is easy to access and available across the whole of North Yorkshire. “The York and North Yorkshire Growth Hub, which is part of the LEP, has worked closely with district and county council colleagues for several years to help provide local support for businesses. “We’re also committed to building the Invest in York and North Yorkshire inward investment proposition, a partnership initiative designed to attract new business investment into the region.”

Humber Freeport given the go-ahead

Today the Chief Secretary to the Treasury confirmed in an answer during exchanges in the House of Commons that the Humber Freeport’s Final Business Case has been given conditional approval, subject to the satisfactory set-up of the planned Customs Zone.

In an answer to a question from Cleethorpes MP Martin Vickers, Rt Hon John Glen MP said ‘ The Humber Freeport is already open for business, supporting the regeneration of the region by creating jobs and attracting new business investment. I am pleased to confirm the full business case for the Humber Freeport has now been conditionally approved by the Treasury, with full approval being subject to the customs site being designated and the Freeport signing an MOU with the Department for Levelling Up’. 

This announcement paves the way for the full set up of the Freeport Company and for the new body to focus on the delivery of the new jobs and investment planned for the area. 

Commenting on today’s news, Humber Freeport Chairman Simon Bird said ‘This is excellent news and means that the most important milestone on the journey to delivering new jobs and investment to the Humber has been passed. This has been a two and a half year project to get to this stage, involving a partnership of local authorities, business groups and universities. We have very exciting times ahead for the Humber area, with a plan to bring at least 7,000 new high-quality jobs and investment for years to come.’ 

David Gwynne, interim Chief Executive of the Humber Freeport added ‘Following today’s announcement, we will conclude the establishment of the new freeport company and look forward to the hard work to turn the business case vision into reality.’ 

Rob Walsh, Chief Executive of North East Lincolnshire Council said ‘Today’s excellent news is the culmination of over two years of work involving a large partnership from across the Humber. I am delighted that North East Lincolnshire Council, as the accountable body for the Freeport, will now get to play our role in helping to make the new company as efficient and accountable as possible so that it can focus on delivering new jobs and transforming the area.’ 

Ofwat given powers to turn off tap on excessive cash payouts for water companies

New powers made possible through the Environment Act will enable Ofwat to clamp down on excessive cash pay-outs and hold water companies to account. The government has today (20 March) backed new plans for the water regulator Ofwat to take action against water companies that pay out dividends to their shareholders despite failing to meet the required performance standards. The changes have been made possible by the government’s Environment Act 2021 which gave Ofwat new powers to change water company licences without consent from water companies. As such, Ofwat is now modifying licences to require companies to:
  • Take account of environmental performance and customer delivery when deciding whether to pay dividends.
  • Hold a strong credit rating and stop them paying dividends if their financial health is at risk.
If a company falls short, Ofwat will be able to take enforcement action. These changes will improve the environmental performance and financial health of water companies, as well as providing greater transparency with customers and stakeholders. Water Minister Rebecca Pow said: “It is wrong for water companies to be responsible for environmental damage and poor performance but not face the penalties. It has been happening too often and it needs to stop.

“These new powers, made possible through our Environment Act, will enable Ofwat to clamp down on excessive cash pay-outs and make sure companies put customers first. This will apply when a company is not meeting expectations on performance or is facing questions over its financial resilience – and ultimately means we go further in holding water companies to account.”

The government has taken further action in recent years to hold water companies to account for pollution, including:
  • Hugely increasing monitoring of discharges, from approximately 10% of storm overflows monitored in 2015 to 100% by the end of this year. While storm overflows have existed for over a century, the government was the first to require water companies to comprehensively monitor so that the issue can be tackled.
  • Making it easier and quicker for regulators to enforce civil penalties for companies that breach their licence conditions, with a consultation set to launch in the spring. Funding from all penalties and fines will also now be invested in schemes that benefit the natural environment.
  • Securing record fines for water companies that break the law. Since 2015, the Environment Agency has secured fines of over £142m through criminal proceedings.
  • Publishing the Storm Overflows Discharge Reduction Plan, which will require water companies to deliver the largest infrastructure programme in water company history – £56 billion capital investment over 25 years. Water companies are already investing £3.1 billion in storm overflow improvements between 2020 and 2025. This includes £1.9 billion investment into the Thames Tideway Tunnel super sewer, with the rest used to undertake over 800 investigations and over 800 improvement schemes to storm overflows.
  • Demanding a clear assessment and action plan on every storm overflow from every water and sewerage company in England, prioritising those that are spilling more than a certain number of times a year, and those spilling into bathing waters and high priority nature sites.