13/08/2025

Reading time: 5min

Enrico Isnenghi

Water Environment Department Manager

 

Water is essential, but the systems that deliver it are complex, often fragmented and increasingly under public scrutiny. The Independent Water Commission’s ‘Cunliffe’ Report arrives at a critical moment, responding to growing pressure for transparency, efficiency, and sustainability in the water sector. For consultants working in this space, this landmark Review raises questions not only about regulatory reform but also about the future shape of advisory roles and opportunities to add real value.

The Cunliffe Report could significantly reshape the role of consultants in the water sector – both in the services we offer and how we work with clients. The proposed shift towards a regional systems planning framework presents exciting opportunities for consultants who can offer truly integrated, cross disciplinary solutions.

Why the Review Matters

The Independent Water Commission’s ‘Cunliffe’ Report marks a vital step in responding to growing public pressure and distrust in the water sector’s regulatory framework. Respondents to the Call for Evidence identified an ‘Improved water environment’ as a key priority, highlighting a clear gap between what people value most and what they feel is being delivered.

The Review sets out an ambitious vision for reforming the water sector across England and Wales – calling for unified regulation, stronger regional governance, and a sharper consumer focus. Its goal is to address long-standing inefficiencies and support a more sustainable future. If implemented effectively, its recommendations could reshape sector governance and operations to better meet modern challenges such as climate change, population growth, and aging infrastructure.

Key recommendations

Much of the discussion since the Review’s publication has focused on the proposal to create a new integrated regulator in England, as outlined in Recommendation 16—a pivotal recommendation which should not be underestimated. However, the Review is far broader in scope. It offers a comprehensive assessment of systemic issues in the sector and recommends action across several key areas, including:

  • Tackling regulatory barriers and inefficiencies

  • Improving water infrastructure resilience

  • Enhancing and protecting the water and natural environment

  • Ensuring better adaptation to climate change

A national water strategy

Perhaps the most important message of the Review is contained in Recommendation 1: the need for a shift towards a system-focused, long-term, cross-sectoral National Water Strategy for England and Wales.

This recommendation captures the core vision of the Review: moving from piecemeal solutions to truly integrated objectives for the water sector. It calls for alignment with other key sectors, such as housing and transport, to maximise synergies and minimise conflicts. Achieving this requires a long-term, system-wide perspective to ensure short-term objectives (e.g., capital costs) do not take precedence over strategic priorities.

The adoption of a system planning framework, as per Recommendation 3, identifies existing River Basin Districts in England as the geographic scale for regional planning. From a hydrological perspective, this is the right approach to achieve long-term, integrated objectives developed through the involvement of relevant stakeholders, especially at the local level.

Pre-pipe solutions and sustainable drainage

It is encouraging to see Recommendation 10’s call for a coherent approach to pre-pipe solutions and the recognition for regulations to drive the implementation of Sustainable Drainage Systems (SuDS) in England.

The debate around SuDS has been ongoing since the Flood and Water Management Act (2010), and its Schedule 3 is yet to be implemented in England. While SuDS are now mandatory for most new developments in Wales, their implementation in England remains inconsistent. The Review states that SuDS in new development should be mandatory and maintained to a standardised level of quality. It also recommends retrofitting SuDS in the existing built environment and public realm—a critical step for long-term resilience and adaptation.

SuDS are just one example of pre-pipe solutions designed to prevent pollutants and rainwater entering the system. Other solutions, identified in Recommendations 39 and 40, focus on smart metering and water re-use, with an emphasis on removing regulatory barriers. Together, these recommendations reflect a shift towards integrated water management that values water as a key resource to be protected, controlled, and used efficiently.

Implications for consultants

The Commission’s recommendations could significantly reshape the role of consultants in the water sector—both in the services offered and how we work with clients. The proposed shift towards a regional systems planning framework presents exciting opportunities for consultants who can offer truly integrated, cross-disciplinary solutions. While technical specialists remain critical, the ability to bridge silos across water, planning, housing, energy, and transport will become increasingly valuable.

Clients will need more support in developing long-term strategies aligned with national goals and regional priorities. This includes understanding how plans fit within wider systems, identifying cross-sector synergies, and managing trade-offs. Consultants who can think strategically, encourage collaboration, and communicate clearly with a broad range of stakeholders will play a key role.

The Review’s emphasis on river basin–scale planning reinforces this strategic shift. It enables a holistic perspective on catchment-wide challenges, opening the door to embedding Nature-based Solutions (NbS), integrated water resource management, and environmental enhancement into core business planning rather than treating them as add-ons.

In practice, we may see growing demand for:

  • Scenario planning and systems modelling

  • Cost-benefit analysis across wider value chains

  • Stakeholder engagement and collaboration

This represents a cultural shift from reactive, compliance-driven advice to proactive, future-focused consultancy that helps clients navigate uncertainty and unlock broader value for society and the environment.

The Cunliffe Report signals more than regulatory tweaks – it points to a fundamental shift in how the water sector operates and how consultants can add value. By embracing system-wide thinking, cross-sector collaboration, and long-term planning, consultants have the chance to play a pivotal role in shaping a sustainable, resilient, and efficient water future. Those prepared to think beyond the immediate project and focus on integrated, strategic solutions will be best positioned to lead the sector into the decades ahead.