Water bosses could now face jail for cover-ups

Law-breaking water company executives face tougher punishments, including possible prison sentences, under new powers that have come into force in England and Wales.

Bosses who fail to co-operate or obstruct investigators looking into sewage spills can now be jailed for up to two years.

The government said the threat of tougher sentences would act as a “powerful deterrent”.

At the same time a highly critical report from the public spending watchdog accuses the government and regulators of failing to manage risk and drive investment in the water sector, contributing to higher bills for customers.

The National Audit Office’s report said consumer trust was at an “all-time low”.

It pointed the finger at the regulators, Ofwat, the Environment Agency and the Drinking Water Inspectorate, as well as at the Department for Environment, Food and Rural Affairs, for failing to drive improvements to the system.

The government said the new powers to punish executives were needed because in the past water companies had failed to hand over vital evidence related to illegal sewage discharges.

Regulation had been “weak and toothless” with no accountability, said Environment Secretary Steve Reed.

“It’s shocking that not a single water executive faced a fine, let alone a prison sentence, despite widespread law-breaking,” he told the BBC’s Today programme.