Water is becoming an increasingly scarce resource. By 2035, several regions in England and Wales are forecast to suffer from severe water scarcity.

The industry, its regulators and Government have the opportunity to take action now to address these issues in the long term. One of these opportunities is trading water across companies’ boundaries to make the best use of resources on a national scale.

Working with Ernst & Young, Severn Trent Water has developed proposals for water trading which could be implemented across England and Wales by utilising existing regulatory processes. Our proposal is a simple, low cost, low administration approach designed to maximise the benefits water trading.

Our proposal, available for download using the links to the right, builds on one of the six recommendations for change in the industry we made in our earlier report Changing Course.