South West Water ordered to submit leak action plan as drought raises supply risk

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South West Water leak action plan

Highlights

Regulators have given South West Water six weeks to submit an action plan as leakage stands 18.5% above target, losing 113.5 million litres daily.
Severe drought now affects about 325,000 people and thousands of businesses in Exeter and mid and east Devon, with possible water supply cut-offs and economic disruptions.
Reservoir storage at Wimbleball is critically low at 16% after the driest April–September in over a century, emphasizing the urgent need for sustained rainfall to replenish supplies.

Regulators set six-week deadline on leakage

According to The Guardian, as set out in a joint letter from Ofwat, the Environment Agency and the Department for Environment, Food and Rural Affairs, South West Water is missing targets to reduce leaks and repair burst pipes, with regulators saying the shortfall has persisted for seven years.

The letter, dated 26 October, says leakage is 18.5% above forecast and has risen from the previous year. South West Water is losing 113.5 million litres of water a day from its pipes and infrastructure, equivalent to 45 Olympic swimming pools, and 5.7 million litres a day more than a year earlier.

Regulators say the trend is undermining confidence in the company's ability to protect supplies and avoid emergency abstraction from rivers that could cause environmental damage. They also warn that asking customers to cut consumption while leakage remains elevated carries reputational risk for the utility.

Drought conditions deepen pressure on customers and region

About 82% of England remains in drought, with severe drought declared in parts of Devon, Cornwall, Dorset, Somerset, East Sussex and West Sussex. The Met Office says 120% of typical rainfall is needed over seven months to bring the country fully out of drought.

In the South West Water area, around 325,000 people and thousands of businesses in Exeter and mid and east Devon are affected by severe drought conditions. Regulators warn supplies could be regularly cut off in the coming weeks and months, with possible consequences including school closures and economic losses.

Reservoir levels at some sites are critically low after the driest April to September in more than a century. Storage at Wimbleball, which serves customers in east Devon, north Devon, Somerset and west Dorset, is at 16%, while concerns also extend to smaller reservoirs in Devon and Cornwall.

South West Water says recent rainfall is improving water resources, but pressure on supplies remains significant and sustained rainfall is still needed to replenish rivers and reservoirs. The company says it is repairing leaks, moving water around its network and taking practical steps to strengthen supplies and reduce water losses.

Malaysia’s call to strengthen fiscal buffers against climate shocks highlighted how recurring disruptions are becoming a baseline risk rather than a rare event, and why policy flexibility matters when crises stack up. Our earlier article noted that limited fiscal space and higher financing costs can constrain a government’s ability to respond, making reforms and stronger buffers critical to maintain stability. This context is relevant as drought-driven stress tests infrastructure and emergency-response capacity in other regions, including the UK water sector.

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