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Government must do more to increase water efficiency and reuse if future shortages are to be avoided.

As the UK experiences a second consecutive summer of record-breaking heat, the Environment Agency has warned that, without action, England could face a public water supply shortfall of 5 billion litres per day by 2055. Cross Party think tank, Policy Connect’s latest report, Bricks and Water: building the case water efficiency, explores the challenges surrounding water scarcity and the action needed to overcome these and avoid future water shortages. 

Recommendations within the Independent Water Commission’s review of the water sector and proposals in the Government’s Water White Paper, aim to improve security of supply and reduce demand from homes and businesses. However, the pace of change over the last decade has been slow, and water scarcity has already become a direct barrier to housebuilding projected to cost the economy £25 billion in undelivered new homes over the next five years. 

This report, published on 14 July 2026, follows a nine-month inquiry by Policy Connect’s Westminster Sustainable Business Forum. The work is informed by a range of expert opinions, including those from the water and housebuilding sectors, along with non-departmental public bodies, local authorities, and academia. Bricks and Water is a cross-party inquiry chaired by Baroness McIntosh of Pickering (Con), alongside vice-chairs, Lee Pitcher MP (Lab) and Dr Julia Buckley MP (Lab). 

The report sets out ten practical recommendations for government across three key topics: 

  • Water scarcity
  • Water efficiency
  • Water reuse

The report has been kindly sponsored by Anglian WaterEnabling Water Smart CommunitiesStormsaver, and Queen Mary University of London

Baroness McIntosh of Pickering, Inquiry Chair  

“This is the fifth inquiry that I have Chaired in the Bricks and Water series, and it comes as the country faces a second successive summer of record-breaking heat. 

The inquiry has heard that our vital water resources in England are under unprecedented stress from climate change, new housing, and water-intensive industry. However, policy change needed to secure supply and reduce demand has been slow over the last decade, with the failure to legislate for the mandatory use of Sustainable Drainage Systems a case in point. The recommendations in this report to help improve water efficiency and accelerate water reuse are practical, deliverable, and urgent. The Government must now act on them.” 

Lee Pitcher MP, Inquiry Vice-Chair 

“In my role as the Chair of the All-Party Parliamentary Group for Water and for Sustainable Flood and Drought Management, I have seen, first hand, the challenge that the country faces associated with water scarcity.  If we are to build truly resilient and water-smart new homes at the pace and scale required then it is vital that the Department for Environment, Housing Ministry, and Treasury all work together.  I am delighted to vice-chair this inquiry, which includes a set of actionable policy recommendations that these departments can use to address this challenge.” 

Rob Allen C.WEM, report author 

“The Government describes economic growth as its number one mission. It may seem obvious, but this growth will be impossible without the water we need for industry, agriculture, and domestic use. The recommendations in the Cunliffe Review and the proposals within the Government’s Water White Paper are welcome, but we will need to go further and act faster, if we are to avoid the significant water shortages that are predicted by the Environment Agency. The recommendations to Government in this report aim to close the gap between current commitments and the practical action needed to avoid future shortages.” 

Michael Farnsworth, CEO, Stormsaver 

“The technology for water reuse is widely available, but we need robust legislation to dissolve barriers, clarify guidelines, and underscore the critical importance of water conservation. Water reuse is successfully used in other countries and should be a mandatory element of new construction, vital for protecting our future water security. Stormsaver is delighted to have sponsored this inquiry, which aims to help bring about these much-needed changes.” 

Dr Andrew RussellReader in Environmental Science, Queen Mary University of London 

“The Climate Change Committee’s recent adaptation report concluded that our way of life is under direct threat from heat and drought. The evidence collected throughout this inquiry supports this view and calls for urgent action to improve water efficiency into our homes and businesses and enable the widespread adoption of water reuse systems. The Government should consider this as it develops its fourth National Adaption Programme. Queen Mary University of London is pleased to have been involved in this inquiry, both as a member of the steering group and through the University’s London Interdisciplinary Social Science Doctoral Training Programme placement.” 

 Catherine Moncrieff, Head of Policy and Engagement at CIWEM  

“Water scarcity in England has become a direct barrier to the delivery of new homes and analysis by Enabling Water Smart Communities suggests that, in the south and east, this could come at a cost of up to £25 billion to the economy.  Ensuring that new homes and businesses are water efficient and include water reuse systems, which is available now, is key to development and ensuring that our communities are fit for the future.” 

George Warren, Integrated Water Manager at Anglian Water 

“Enabling Water Smart Communities has undertaken analysis and developed guidance to overcome the delivery challenges to rainwater use and water reuse in new homes. I am pleased that the Westminster Sustainable Business Forum has drawn heavily on this evidence base when compiling this important report.” 

If interested in contributing to further work on Sustainability policy, please contact Robert Allen (robert.allen@policyconnect.org.uk).

Cross-party forum

Westminster Sustainable Business Forum
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