In its ‘Water White Paper’ the government has outlined a series of reforms, following 88 recommendations outlined by the Independent Water Commission, chaired by Sir Jon Cunliffe, which included introducing a new, integrated regulator for water and nine new regional water authorities to deliver on local priorities.
Through an upcoming Water Bill, the government intends to progress an ambitious, coherent reset of the legislative framework.
It will also publish a Transition Plan later in 2026 detailing the roadmap to a new regulator and streamlined system of water planning.
Acknowledging that water industry planning is ‘fragmented’, the government has said new reforms will bring councils, water companies, farmers, and developers together to deliver joined-up local plans to tackle river pollution, water resources and housing growth.
“Having agricultural representatives involved in the regional steering group will be essential to building trust and ensuring the sector supports any future water planning framework.”
NFU Vice-president Rachel Hallos
NFU Vice-president Rachel Hallos said that this “greater collaboration across industries is encouraging and something the NFU kickstarted at our water summit last year.”
“The Water White Paper sets out a number of clear ambitions from Defra for the agriculture industry,” she added.
A new, single water regulator
The Defra Secretary has already announced that the regulator Ofwat will be abolished, and in its place the government will establish a new, single regulator that combines the functions of Ofwat, the Environment Agency, Natural England and the Drinking Water Inspectorate.
This new regulator will have more oversight of the water system to manage the different pressures on water quality and water resources in an integrated way.
Regional water planning
The government has said it will deliver an improved water planning model, consolidating existing water industry plans and processes into two core planning frameworks – one for water environment and one for water supply.
These two frameworks will enable cross-sector planning at a national, regional and catchment scale underpinned by a clear statement of direction from the government.
Regional water planning will support the delivery of national strategic objectives such as the government’s economic growth mission, housebuilding targets and nature recovery, while enabling regional and local priorities to be realised.
Each regional plan will look to provide early interventions, including nature-based solutions where appropriate, to reduce long-term costs and improve resilience.
To guide this work, the government will create a regional water planning steering group. This group will bring together expertise from across sectors, including regulators, the water industry, and agriculture, to help shape and design the new planning framework.
The government is also doubling funding for catchment partnerships to strengthen local capacity to deliver effective catchment planning.
Defra is considering opportunities to rationalise and better align existing planning functions and resource, such as River Basin Management Planning, regional water resource groups, catchment partnerships, and Regional Flood and Coastal Committees.
Addressing agricultural pollution
The government will consolidate the existing regulatory framework into a single set of stronger and clearer national standards. This should create a clear framework for farmers to confidently manage their land, soils, and crops, while keeping our waters clean and healthy.
“We welcome the commitment to streamline regulation,” NFU Vice-president Rachel Hallos said. “This is a long standing priority for farmers and growers, who care deeply about the environment they work in and have been calling for a more coherent regulatory approach for many years. The detail is key here and must be developed through in-depth industry engagement, with food security at its core.
“While the Paper proposes a more joined up approach to water planning, important questions remain about availability and abstraction, both essential for growing the nation’s food, as well as flood management, which many communities are currently facing. Having agricultural representatives involved in the regional steering group will be essential to building trust and ensuring the sector supports any future water planning framework.”
The NFU is calling for farmers to be supported with a generous transition period and accessible grant funding to improve infrastructure and practices on farm.
Stronger regulation and enforcement will sit alongside the targeted use of Environmental Land Management schemes, the Catchment Sensitive Farming advice programme, and infrastructure grants to help farmers go further in adopting choices that reduce pollution, protect water, and boost their businesses, the government has said.
The government will continue to give farmers, environmental groups, and interested parties a voice in shaping these new regulations through its ‘Addressing Pollution from Agriculture Programme’ and wider consultation.
Additionally, the government is doubling the funding for farm inspections, enabling at least 6,000 inspections a year by 2029.
It has has proposed a shift in focus towards ‘pre-pipe’ solutions, such as rainwater management, including sustainable drainage systems, and tackling sewer misuse. These approaches are more sustainable, deliver wider benefits such as reducing flood risk and supporting biodiversity, and will deliver better value for money for customers.
Environmental permitting
In early 2026, the government will consult on reforms to how sewage sludge use in agriculture is regulated and whether this should be included in the environmental permitting regime.
Defra is also exploring whether environmental permitting should be extended to cattle farming. “Such a change could have a direct impact on farm business growth at a time when increasing growth is a core mission of this government,” Rachel said, adding that the NFU is “concerned” about any plans for expansion to Environmental Permitting Regulations.
Based on the pig and poultry environmental permitting regime, permits can place a huge administrative burden and cost on businesses. When cattle numbers are already declining, this would be another blow to producer confidence and is anti-growth. The NFU will be a conducting a survey to quantify the impact such regulations would have on dairy and beef businesses.
“If permitting is expanded it must involve meaningful consultation with industry, including full consideration of an industry-led option,” Rachel said. “The NFU is developing a farmer-led approach that would help recognise and reward the actions farmers are already taking to reduce pollution.” This would focus on working with other stakeholders within the supply chain to improve knowledge exchange, understanding of Environment Agency inspections and agricultural pollution regulation compliance.
In addition, the government will move abstraction and impoundment regulation into the Environmental Permitting Regulations with the aim of tackling unsustainable water abstraction and making better use of water availability.
As policy development continues, the NFU remains committed to working closely with Defra to ensure farmers’ and growers’ voices are heard.
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