We report on our performance each year in our annual report and accounts.
Our 2024-25 annual report includes a description of the work we carried out during the year to fulfil our statutory responsibilities. It also includes the accounts for the operation of the Water Services Regulation Authority (Ofwat) under International Financial Reporting Standards (IFRS). They have been prepared on an accruals basis in accordance with the Government Financial Reporting Manual (FReM).
Our duties are laid out primarily in the Water Industry Act 1991 as amended (WIA91). We are directly accountable to Parliament and the National Assembly for Wales.
2024-25 overall performance
Our performance report summarises the outcomes we aim for, the progress we have made, and the water sector’s performance in delivering for customers and the environment. Ofwat and the wider water sector is in a period of significant change. The report discusses and recognises the implications of the findings of the Independent Water Commission and the UK and Welsh Governments’ decision to create new regulators in England and Wales.
Every day, over 50 million household and non-household customers in England and Wales receive good quality water, sanitation and drainage services. These essential services are provided by privately-owned companies in England and Wales. Customers expect these companies to recognise the importance of the trust and confidence placed in them and work tirelessly to secure it.
We refreshed our strategy, Time to act, together, in January 2024. To focus on achieving our goals, we developed three streams of action covering direction, performance and delivery, building on the work we had already begun in response to the significant challenges facing the sector. We aim to :
- be an assertive voice in strategic and investment decision-making for the sector, working with other regulators and governments;
- drive up sector and company performance by more regularly, visibly and proactively challenging companies on their performance, using data and operational expertise; and
- enable efficient and effective delivery of major projects and a fourfold increase in water and wastewater infrastructure schemes to improve resilience and environmental outcomes.
The 2024-25 report sets out the work we have done to deliver the goals set out in our Time to Act, Together strategy and reports on the water sector’s performance in delivering improvements for customers and the environment.
Innovation fund annual report 2025
In July 2025 we published our ‘Innovation Fund annual report 2025‘. The report reviews the Innovation Fund’s progress since the 2024 Annual Report. It showcases key reflections and competition winners, and outlines Ofwat’s forward-looking plans. We highlight how the Fund is enabling change beyond business-as-usual practices in the water sector. By taking real and calculated risks, the Fund supports Ofwat’s goal of delivering long-term value for customers and the environment.