Our 5 year plan for 2020 to 2025

After submitting our business plan for 2020 to 2025 in September, we’ve been through a robust process to enhance it, based on feedback from our regulator Ofwat, customers and stakeholders, to help us build a better future for our customers, our region and our planet.

Our plan is based on insights from over a million customers like you and we hope it will help all of us care for water together. Through each evolution of our plan, one thing has remained the same – our passion for providing world-class water, now and in the future.

Our revised plan will deliver even more for our customers.

  • Greater improvements in driving down pollutions, sewer flooding and the number of interruptions to water supplies.
  • Providing discounts for thousands more families who need help with their bills.
  • Reducing combined bills by 1.3% or an average of £5 in real terms by 2025 (from flat bills).

See how we’re building a better future below.

If you would like to see more about our revised plan, the commitments we’re making and how it delivers the best possible value for our customers watch our video below.

VIDEO: Our business plan commitments April 2019

The water industry is regulated in five year periods and our business planning reflects this. In September last year, we submitted our business plan to the industry regulator, Ofwat, for the period 2020-2025 (known as Price Review 19 – PR19). It’s based on the insights from over a million customers.

Following Ofwat’s initial feedback on 31 January 2019, we reviewed and enhanced our plan, before resubmitting it on 1 April. The regulator will provide further feedback in the summer for us to review. We’ll then work to get our plan agreed by the end of 2019, with delivery starting in April 2020.

Key dates

3 September 2018 – Our Draft Business Plan submitted to Ofwat

3 September 2018 – Our Draft Business Plan published online

28 September 2018 – We present our Draft Business Plan to Ofwat

31 January 2019 – Ofwat provides a complete response to our draft plan

1 April 2019 enhanced and revised plan resubmitted to Ofwat

18 July 2019 – Ofwat respond to our revised plan

End 11 December 2019 – Ofwat publish final determination of our plan

Additional downloads

Please see below for supporting documentation on PR19, including our Customer Challenge Group (CCG) report, Board Assurance Statement, Consolidated Data Tables and Ofwat Business Plan Template.

Outcomes Supporting Evidence - April 2019

Customers on priority services register performance commitment - April 2019

A review of Ofwat's PR19 approach to estimating frontier shift - April 2019

Assessing Ofwat's funding and incentive targets for leakage reduction - April 2019

What Customers Want April 2019

Ofwat model - April 2019

Bill waterfall model - April update

Finance and finance ability - April 2019

WACC - Case for increased uncertainty - April 2019

Cost of capital for PR19 - April 2019

Board assurance statement - April 2019

Vulnerability BSI PC - April 2019

SEMD performance commitment - April 2019

Towards a risk and reward framework - April 2019

Resilience - April 2019

Response to Ofwat's IAP assessment (Ofwat Tracker Template)

CCG independent report - April 2019

Consolidated data tables - April update

Consolidated data tables - April update including Strategic Regional Water Resource

These data tables have been adjusted to reflect Ofwat’s proposed funding for the development of the Strategic Regional Water Resource.

Ofwat – April update including Strategic Regional Water Resource

This document has been adjusted to reflect Ofwat’s proposed funding for the development of the Strategic Regional Water Resource.

We previously submitted our business plan to Ofwat in September 2018. The documents and videos below support this previous submission and can be compared to our most recent review in April 2019, the documents for the April 2019 review are found above in 'More about PR19 and our April 2019 business plan submission'.

Additional downloads

Please see below for supporting documentation and videos on our previous PR19 submission, including our Customer Challenge Group (CCG) report, Board Assurance Statement, Consolidated Data Tables and Ofwat Business Plan Template.

VIDEO: Hear for you - Our plan 2020 to 2025 - September 2018

VIDEO: OneThames with Steve Robertson

VIDEO: Customer Focus with Dame Deidre Hutton and Lorraine Baldry

VIDEO: Innovation Focus with Kenton Bradbury, Ian Pearson and Sarah McMath

VIDEO: Resilience Focus with Kenton Bradbury, Ian Pearson and Greg Pestrak

Our plan at a glance (September 2018)

Our plan - summary version (September 2018)

Our plan 2020 to 2025 (September 2018)

CCG independent report

Board assurance statement

Consolidated data tables

Business Plan summary proforma

Bill waterfall model

Business Plan proforma guidance tables

Appendix 1 - Past performance and lessons learnt

Appendix 2 - Engaging and delivering for our customers

Appendix 3 - Affordability and vulnerability

Appendix 4 - Resilience

Appendix 5 - Innovation

Appendix 6 - Risk and return

Appendix 7 - Efficiency

Appendix 8 - Making use of markets

Appendix 9 - Delivering trust, confidence and assurance

Future of the water sector - Service Incentive Mechanism

Approach to input price inflation for the retail household price control

The approach to outcomes at PR19

Towards a risk and reward framework for PR19

How we engaged with our customers to build our business plan

Our aim has always been to produce a customer-centric business plan, built by us and driven by our customers, employees and stakeholders.

Over the last few years, we’ve gathered insight from over one million customers. We first went out on a broad basis to understand customers’ overall priorities for water and wastewater services, then went through further consultation stages. Lastly, we asked for customer feedback on specific areas of the plan.

We used a variety of channels for our customer engagement, including:

  • A dedicated microsite
  • Roadshows
  • Shopping centre events
  • A bespoke digital campaign including social media posts and Facebook content
  • Local engagement forums (LEFs)
  • Billing leaflets
  • An interactive customer engagement tool - a finalist in the category of ‘best innovation in customer engagement’ at the National Engage Awards in November 2017.

Watch the video to see how we engaged with customers to gather feedback during our roadshows.

If you have any queries, would like further information or want to see any more of our PR19 documents, please email: strategicbusiness.planning@thameswater.co.uk