Ofwat to tighten water bonus ban after Anglian payments spark trust concerns

The Guardian reported that the water regulator Ofwat plans to tighten the industry’s bonus ban after warning that large payments to senior executives could damage public trust. Ofwat said firms are “undermining” the rules by making payments that appear to bypass the ban. Anglian Water was highlighted for making “retention payments” of up to £800,000 to chief executive Mark Thurston, despite the restrictions. The regulator said the payments raised questions about the company’s governance and announced that Anglian will face increased monitoring of its governance arrangements. Ofwat said it will hasten a review of the sector’s compliance with the bonus ban to address the risk of eroding confidence in water providers. The move follows concerns that the industry’s compensation practices could undermine the public’s confidence in how water services are managed.

Why it matters

The regulator’s action aims to protect public confidence in water services and ensure that executive pay does not circumvent rules designed to safeguard consumers.

Key details

Location

United Kingdom · Europe

Reported by

The Guardian

First reported

12 Nov 2026, 13:00 IST

Key names

Ofwat, Anglian Water, Mark Thurston

Section

Business

Sources

This is an independent summary. Read the full, original reporting from the publisher:

• The GuardianWater industry bonus ban to be tightened as Ofwat warns of ‘damage to public trust’ 12 Nov, 13:00

Read the full story at The Guardian ↗

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