29/01/10
Environment Agency estimates of the cost of the 2007 summer floods strengthen the case for investment in critical infrastructure.
Financial costs were about £4.0 billion, with some £3.2 billion falling on households and businesses in England. Cost to critical infrastructure and essential services was about £660 million. Water services were most affected (£186 million).
In the five years to 2015 Ofwat has approved capital expenditure of £414 million on resilience projects by water companies. This was less than the industry had proposed but welcome nonetheless.
The water industry hopes the Flood and Water Management Bill will clarify responsibilities for surface water management and facilitate investment by local authorities and other agencies.
Water companies acknowledge an important role for themselves in ensuring that property and services are protected against future flooding. But they look to government and regulators to establish the coordination mechanisms and legal structures needed to make the most of the increased investment the Environment Agency is seeking.
Flood report underlines need for infrastructure investment
Environment Agency: The cost of the summer 2007 floods
Contact: Jim Marshall
