Water company bosses face prison for covering up illegal sewage spills under new laws

Water company bosses face up to two years in prison if they cover up illegal sewage spills under new laws coming into force today. The Environment Department (Defra) said no prison sentences have been handed to water company executives since privatisation despite widespread illegal sewage discharges, and the tougher penalties were essential because some firms have obstructed investigations.

Environment Secretary Steve Reed said: "Bosses must face consequences if they commit crimes. There must be accountability. "From today, there will be no more hiding places."

He added: "As part of the Plan for Change, water companies must now focus on cleaning up our rivers, lakes and seas for good."

The move, part of the Water (Special Measures) Act 2025, comes in the face of widespread public fury over the degraded state of the country's rivers, lakes and coastal waters and at a lack of investment in water infrastructure, rising bills, high dividends and debt and executive pay and bonuses.

The Government has also launched an Independent Water Commission, which is looking at widespread water sector reform.

Campaigners have called for wide-ranging measures, from overhauling regulators to nationalising water companies, while the Office for Environmental Protection (OEP) watchdog is investigating whether the Government and regulators failed to comply with key laws on water quality.

Defra argues that the new laws brought in to imprison water company executives will act as a powerful deterrent.

Until now, regulators have faced obstruction from companies in their efforts to gather evidence for prosecutions on illegal sewage spills.

Despite obstruction being a criminal offence, only three water company officials have been prosecuted by the Environment Agency without appeal, and the maximum punishment was a fine - although no fines were issued.

Philip Duffy, Chief Executive of the Environment Agency said: "The Water (Special Measures) Act was a crucial step in making sure water companies take full responsibility for their impact on the environment.

"The tougher powers we have gained though this legislation will allow us, as the regulator, to close the justice gap, deliver swifter enforcement action and ultimately deter illegal activity.

"Alongside this, we're modernising and expanding our approach to water company inspections - and it's working. More people, powers, better data and inspections are yielding vital evidence so that we can reduce sewage pollution, hold water companies to account and protect the environment."