Bosses of water companies could lose their bonuses in future if the firm they run causes environmental damage, like letting illegal sewage pollute a beach or river.
Proposals released this morning by the Government say that the water regulator Ofwat will consult on banning bonuses for water company bosses if a company has committed serious criminal breaches.
The ban would apply to all executive board members and Chief Executives and would be expected to come into effect later this year, subject to consultation. If taken forward, Ofwat would implement the measures by changing the conditions of water company licences. For water companies in England this would be done using the powers given to the regulator through the Environment Act 2021.
Last year 10 water bosses received bonuses, totalling £2.5 million.
