The Independent Water Commission must determine whether equity investment has been value for money for customers. If it is advisable to continue with a totally privatised model, the Commission needs to create a comprehensive but stable regulatory environment for water companies and their investors to ensure that the sector is low risk and low reward. As part of its work looking at narrowing the variability of returns, the Commission should investigate whether there should be a clearer ‘floor’...

The Independent Water Commission must determine whether equity investment has been value for money for customers. If it is advisable to continue with a totally privatised model, the Commission needs to create a comprehensive but stable regulatory environment for water companies and their investors to ensure that the sector is low risk and low reward. As part of its work looking at narrowing the variability of returns, the Commission should investigate whether there should be a clearer ‘floor’ and ‘ceiling’ for dividends to provide reassurance to all sides, one that takes into account all returns that investors receive. Between these threshold Type: conclusion | Number: 12 | Response status: response_pending