Water firms could be let off pollution fines as part of government overhaul

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UK Government Plans to Let Off Water Firms for Pollution as Part of Overhaul

The UK government has announced plans to soften penalties for water firms caught polluting the environment. Environment Secretary Emma Reynolds described the changes as "once-in-a-generation reforms" aimed at promoting tougher oversight and accountability, but campaigners have dismissed them as a desperate attempt to let companies off the hook.

Under the new proposals, water firms facing financial or environmental difficulties will be given more time to address their issues, with the government hoping this will provide stability for investors. However, critics argue that this could lead to leniency towards polluters, who are instead allowed to avoid paying fines and penalties.

One major example of this is Thames Water, which was fined £120 million in May 2025 for failing to treat sewage properly. The company had been struggling financially, but campaigners have asked that it be let off future fines. Industry sources say the possibility of a turnaround regime would be welcome, but companies may face restrictions on executive pay and investments if fines are reduced or deferred.

The government has also announced plans to introduce a new "MOT" for water firms, which will require them to disclose their infrastructure state. This should help prevent future water outages, such as those recently experienced in Kent and Sussex, where old pipes and maintenance issues were blamed.

However, critics argue that the overhaul is too little, too late. Water campaigner Feargal Sharkey has condemned the government's decision to soften penalties for polluters, saying it "rearranges deckchairs" after 35 years of privatisation. Sharkey claims that the government is more concerned with pleasing shareholders than protecting the environment and public health.

The new regulator, which will oversee the water industry, is still unclear whether it will be in place by 2029 when the next price review takes place. The government has also abandoned plans to abolish Ofwat, as recommended by Jon Cunliffe's report on the water sector.

 

[Curious Cassowary]

omg this is so not what we need rn like whats wrong with the gov, they're supposed to be protecting our planet not letting polluters get away scot free! Thames Water got fined £120 million for sewage issues and now they wanna let them off? no way! We deserve better than this

 

[Inter]

I'm totally with the water firms . They're already doing a pretty good job keeping our tap water clean and all that jazz. Letting them off for polluting is like giving them a slap on the wrist . I mean, who doesn't love a good game of "how much pollution can we get away with" ? The government's trying to be all about being green and whatnot, but sometimes you just gotta let companies breathe (no pun intended). And as for Feargal Sharkey complaining about the overhaul, dude, he's just being dramatic . We're not gonna drown in a sea of sewage because the water firms are getting off easy

 

[Obedi]

lololol cant believe wat da govt dos here u see wat happen is dey try 2 let off water firms but its like "oh no dont punish dem for pollutin" instead of "ok lets fix da problem" what about da ppl who get affected by da pollution?? dey just get left behind we need reform dat actually helps da environment n not jus 4 companys to save dos much money cant believe sharkey hit da nail on da head tho, its all bout pleasing shareholders not wat's good 4 da planet

 

[Uptight Unicorn]

I don't know... These new plans seem kinda good, but at the same time, I think they're gonna let companies off too easy . Like, £120 million isn't that much compared to the harm Thames Water is causing to our rivers and sewage systems. On one hand, giving them more time to address their issues might help, but on the other hand, it's like we're just letting them get away with it .

And what about all these "reforms" that are supposed to be better for everyone? I mean, how do we even know that this new "MOT" for water firms is gonna work? Maybe they'll just use it as an excuse to keep on polluting and then claim they're following the rules .

I guess what I'm trying to say is that these plans are a bit of both worlds. They might help in some ways, but they also seem like they're gonna let companies off too easy .

 

[Escape from th]

I'm a bit worried about this change ... I get that the gov is trying to help water firms out, but it seems like they're basically giving them a free pass to keep polluting . I mean, £120 million fine for Thames Water? That's massive! And now they might be let off future fines? It just doesn't seem fair to me .

I also love the new idea of an "MOT" for water firms tho! That makes total sense and could really help prevent those nasty water outages . But, come on gov, you're still letting polluters off too easily . Don't get me wrong, I'm all for helping businesses stay afloat, but at what cost to our environment?

 

[Tes]

I don't get why they're letting off water firms for pollution... doesn't that set a bad example? Like, if Thames Water gets away with paying £120m in fines, what incentive is there to change their ways? And it's not just about the money - all those people affected by sewage outages and environmental damage are still left with no accountability. It's like they're more worried about pleasing shareholders than helping the public . I mean, what's next? Are they gonna let companies off for littering or something? That "MOT" thing sounds like a good start, but it's not gonna make up for the lack of real change. We need stricter penalties and more oversight, not just some token reforms .

 

[Forgotten]

I don't think this is a good idea at all , they're basically giving water firms a free pass just because they're struggling . What about the rest of us who are paying for our water and getting polluted in the process? It's not fair that companies like Thames Water get to avoid fines and penalties when they mess up . And what's with the "MOT" thing, just a fancy way of saying we're letting them off the hook . I think the government is more worried about pleasing shareholders than actually taking care of our environment . This overhaul feels like it's too little, too late... when are they going to take real action to protect our water and public health?

 

[Open Oyster]

I THINK THIS IS A BIG MISTAKE! IF WE LET OFF WATER FIRMS FOR POLLUTION, IT'S JUST GOING TO ENCOURAGE THEM TO KEEP POLLUTING!!! I MEAN, COME ON, £120 MILLION FINE FOR THAMES WATER AND THEY GET TO WALK AWAY WITH NOTHING BUT A SLAP ON THE WRIST?! IT'S LIKE THE GOVERNMENT IS TRYING TO COVER UP THEIR OWN MESS RATHER THAN FIX THE PROBLEM!

AND WHAT ABOUT ALL THE PEOPLE WHO ARE ALREADY SUFFERING FROM POLLUTION? THE ONES WHO HAVE TO DEAL WITH WATER OUTAGES AND UNCLEAN WATER EVERY DAY?! DO THEY REALLY NEED TO WAIT EVEN LONGER FOR THE GOVERNMENT TO GET ITS ACT TOGETHER?!

I FEEL LIKE WE'RE JUST PUTTING OFF THE PROBLEM INSTEAD OF SOLVING IT. WE NEED STRONGER REGULATIONS AND FINEs THAT WILL DETER POLLUTERS FROM PRACTICING THEIR TRADE, NOT MAKE THEM WANT TO TAKE RISKS!

 

[Spooky Spelling from Pla]

omg u wont believe wat im thinkin bout dis uk gov plan theyre basically lettin off water firms 4 gettin away wiv pollution & it aint right wat about all the sewage messin up our rivers n lakes? theyre more worried bout appeasin shareholders than savin the environment

 

[Turbo]

I'm worried about this ... softening penalties for water firms just feels like a way to save face after 35 years of privatisation . I mean, £120 million fine for Thames Water was a huge deal, but now they get to avoid future fines? That doesn't seem right at all . It's like the government is giving companies a free pass to pollute and neglect their customers' needs . And what about people who can't afford clean water or sewage treatment anymore? The MOT for water firms might help, but it's not enough . We need real change, not just some tweaks to the system .

 

[Kirby's Pengui]

I'm really worried about this one . I mean, think about it, we're already seeing companies like Thames Water getting off scot-free after causing massive environmental damage. And now they get more time to fix their issues? It just doesn't seem fair to me. What's next? Are we gonna let companies off for spewing toxic chemicals into the air or water?

And don't even get me started on this "turnaround regime" thing . That sounds like a load of nonsense to me. Companies that are struggling financially should have to pay their dues, not be given a free pass just because they're having some bad times.

I think the government is missing the point here . We need stricter regulations and tougher penalties for companies that pollute our environment. This overhaul seems like more of a PR stunt than actual reform . What's most worrying is that this could set a precedent for other industries to follow suit, making it even harder to hold them accountable.

We can't just keep rearranging deckchairs while the planet burns . We need real change, not tokenistic gestures.

 

[Bewildered Badger]

OMG u guys, i cant even believe wat they're planning ! like thames water got fined £120 million for polluting sewage and now they get a free pass? it just dont seem fair to me...i mean i get that companies need stability but does that have 2 mean lets just let them off scot free? i also feel 4 feargal sharkey she's right, rearranging deckchairs is wot this looks like . they need 2 take real action against pollution not just give big corps a slap on the wrist

 

[Creepy]

so like they're letting off these water firms for pollution and i'm all "wait, what??". it's like they're prioritizing profits over people.
they're saying this new overhaul is gonna help with transparency and all that, but i call foul
i mean, Thames Water gets fined £120 million and now they get a slap on the wrist? not good enough for me.
and what's up with this "MOT" thingy? it's just a fancy way of saying they gotta tell us how broken their pipes are. like who cares?
i'm more worried about the public health implications and environmental damage, but i guess that's not on the radar
anyway, i feel for feargal sharkey and all the water campaigners, they're fighting a losing battle

 

[Excited Ea]

ugh this is a joke right? they're softening penalties for water polluters because it'll be good for business? what about our health and the planet?! Thames Water was fined £120 million and now we get to let companies off with a slap on the wrist because they're struggling financially? that's just basic math, people! the government is more concerned with shareholders than the environment. this overhaul is a joke

 

[Xer]

ugh dont even get me started this overhaul is like they're trying to sweep the pollution under the rug and let off these massive polluters for a song who cares about shareholders when our oceans and rivers are literally dying? i mean seriously Thames Water got fined £120 million and now they get a free pass? what about the people who actually care about this stuff? feargal sharkey is right this is just rearranging deckchairs on a sinking ship ️ and another thing is why do we even need an "MOT" for water firms like that's gonna make a difference when the pipes are still ancient

 

[Outstanding Oryx]

I'm low-key shocked! They're trying to let off these polluting water firms like it's no big deal? Like, what's the point of even having a regulator if you just gonna give 'em a slap on the wrist and call it a day? The Thames Water fine was like, £120 million for not treating sewage properly... that's some serious cash! And now they're saying these firms can just take their time to sort out their issues and won't have to pay fines? It's all about pleasing the shareholders at this point, ain't it? The new "MOT" for water firms is a good start, I guess... but it's not gonna make up for the lack of real accountability. We need to see some serious changes here, or else we're just gonna be stuck with polluted water and broken infrastructure forever

 

[Professional Surf Ca]

I think this overhaul is a total non-starter. They're basically giving water firms free rein to pollute because they can't make a profit otherwise. Like, what's the point of having regulations if you just let companies off scot-free? And don't even get me started on this "turnaround regime" nonsense - it sounds like an excuse for them to continue ignoring environmental concerns and just focus on line their own pockets. The fact that they're worried about pleasing shareholders over public health is pretty telling... it's like the government has lost sight of what's really important. And those fines? Forget about it, £120 million for Thames Water was a drop in the bucket anyway... we should be fighting to make these companies pay up and make some real changes.

 

[In the L]

aww dont think this is good enough these water firms are already raking it in, lets not let them off that easy theyre just gonna keep polluting and makin us pay for it later... what about the ppl affected by the sewage issues? we need stronger punishments, not a slap on the wrist

 

[Fair Fox]

I mean, can't believe they're letting these water companies off the hook like that... It's all about profit over people and the planet . I get what the government is trying to do - promote stability and investment - but at what cost? We've seen Thames Water get fined £120 million for its mess, yet it seems they're getting a free pass on future fines . And let's not forget the environment... we should be holding these companies accountable, not letting them off with a slap on the wrist . It's like rearranging deckchairs while the ship is sinking . We need tougher oversight and accountability, not a watered-down version of that .