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Investigation Finds 'Serious and Unacceptable' Breaches by Severn Trent Water
Severn Trent Water will invest £98 million in infrastructure upgrades after Ofwat found serious wastewater failings and accepted undertakings instead of a fine.
Ofwat accepted a formal package of undertakings from Severn Trent Water, determining that a financial penalty was inappropriate after the company proactively addressed wastewater breaches affecting more than eight million customers.
An Ofwat investigation concluded that Severn Trent failed to 'effectually' manage sewer drainage and wastewater, historically lacking adequate systems and processes to monitor its network across England and Wales.
Shareholders at Severn Trent invested £98 million in infrastructure improvements, including expanded capacity at 65 wastewater treatment sites and nature-based solutions worth £26 million in Mansfield, delivering a 41 per cent reduction in spills.
Chief Executive James Jesic stated Severn Trent accepts Ofwat's findings, while Senior Director Lynn Parker at Ofwat praised the response as "genuine accountability" setting a standard for the industry.
This decision marks the eighth case concluded in Ofwat's wider wastewater sector investigation, which has generated enforcement packages worth more than £300 million, with two cases remaining open.