Ofwat Roadmap actions
Ofwat has nine actions (O1-O9) allocated to it in the Strategic Panel's Roadmap to a Flourishing Market. Find out how Ofwat is progressing with these below.
Each action is assigned a red, amber or green (RAG) status depending on its progress. The definition of the RAG status is as follows:
- Green – on schedule, no concerns OR delivered and under review
- Amber – flagged because an issue has been encountered that may or may not delay the completion of the action
- Red - delay or issue identified that is preventing delivery to schedule
Action | Latest update | End date | Status |
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O1. Update the Open Water website. Update and regularly maintain the Open Water website so it provides customers with clear guidance on the market and incorporates the outputs of Market Improvement Fund Project CATRID to enable customer to identify their retailer and wholesaler to make informed choices around tariffs and/or supplier. |
June 2025: no change from the April 2025 update.
April 2025: Ofwat has updated key content on the Open Water website (including retailer information and customer protection pages) and made improvements to the menu and search function. Further work on the look and feel of the site is being taken forward, including the outputs of Project CATRID (see action) which is expected to be delivered in July/August 2025. |
31 March 2026 |
Flagged |
O2. Ofwat incentives on Wholesalers Ofwat incentivises and holds wholesalers to account appropriately to support efficient market functioning. Wholesaler provision of services to customers and retailers is rated through a business customer and retailer measure of experience (BR-MeX) incentive which drives performance and encourages correction of poor performance. |
June 2025: As noted in the April 2025 update, the business customer and retailer measure of experience incentive went live in April 2025. The outcome of BR-MeX is under review through established metrics.
April 2025: From 1 April 2025, the new business customer and retailer measure of experience (BR-MeX) mechanism is intended to provide a scale of incentive to encourage water companies to provide business customers and the retailers who serve them with excellent levels of service. Over the (AMP8 (2025-30) period MOSL will be responsible for collecting data for BR-MeX, while Ofwat will calculate overall BR-MeX scores which will be published annually. |
31 March 2027 |
Delivered and under review |
O3. Produce plain english guide Produce a guide in plain english to the Customer Protection Code of Practice (CPCoP) that provides sufficient and clear information on the metrics, and obligations and the protections afforded to customers. This guide will help inform decisions about whether to join the market. MOSL will support this by providing a plain english guide to the market codes. |
June 2025: This is a joint venture with MOSL, who is responsible for providing explanations (not interpretations) of which market codes exist and what their purpose is. The focus for this guide will be on encouraging new market participants to enter the market and facilitating their experience. This could include details on licence application and would therefore be more of a signposting exercise than a precis of existing literature. Ofwat will lead a scoping exercise in Q3 FY25/26 to progress this.
April 2025: This is work in progress for Ofwat. The current plain english guide is aimed at customers. Retailers have been asked to issue their own versions, but this activity will not fulfil the remit of the action. |
31 March 2027 |
On schedule |
O4. Retailer and TPI ‘fairness framework’ Establish via the Customer Protection Code of Practice (CPCoP) a “fairness framework” to govern retailer and third party intermediary (TPI) behaviour and reassure customers their behaviours are not just guided by competitive market forces. TPIs should be transparent about their charges, commissions, partnerships and data sources to assure customers of their objectivity and boost customer trust.
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June 2025: The obligations under the Customer Protection Code of Practice (CPCoP) require retailers to only work with TPIs which adhere to a set of principles of practice. Ofwat is gathering annual statements of compliance with the CPCoP from retailers. Any non-compliances will be investigated by Ofwat and instances of enforcement communicated as appropriate. The Panel will continue to monitor the engagement of TPIs with the market.
April 2025: From 17 April 2025, new obligations under the Customer Protection Code of Practice (CPCoP) require retailers to only work with TPIs which adhere to a set of principles of practice. TPIs must operate fairly, transparently, and honestly. Retailers must cooperate with TPIs acting on behalf of customers unless there are concerns about fraud or non-compliance. These measures aim to ensure TPIs act in the best interest of customers while maintaining accountability and transparency. |
31 March 2027 |
Delivered and under review |
O5. Wholesaler ‘fairness framework’ Define and deliver a wholesaler “fairness framework” via the market codes and license conditions. This is intended to reassure customers that wholesalers behave in the interests of customers and that is not impacted by the nature of being regional monopoly providers. |
June 2025: Ofwat recognises the action and is considering the merits of this in the framework of its statutory duties.
April 2025: Awaiting update
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31 March 2027 |
Flagged |
O6. Define list of fields/information to be included on or with customer bills Update the Customer Protection Code of Practice (CPCoP) to reference the fields and information, once agreed (see related C1 action led by CCW). |
June 2025: Completed by the publication of Customer Protection Code of Practice (CPCoP). Ofwat is gathering annual statements of compliance with the CPCoP from retailers. Any non-compliances will be investigated by Ofwat and instances of enforcement communicated as appropriate. The Panel and CCW will continue to monitor the impact of the provision of this information to customers in the market.
April 2025: Recent changes to the Customer Protection Code of Practice (CPCoP) include obligations on retailers about the minimum information that must be contained on customer bills. Ofwat is monitoring compliance with these obligations. |
31 March 2027 |
Delivered and under review |
O7. Sandbox supports innovation Ofwat to implement provisions in licences and market codes to support sandboxing that allows ringfenced trials of new approaches to better support innovation and subsequent wider change |
June 2025: An initial scoping exercise with market participants, Ofwat, MOSL, CCW and regulatory bodies will be held in Q3 FY25/26 to define and progress this.
April 2025: Ofwat's focus is to facilitate innovation through their Innovation Fund which has been made more accessible to retailers by developing a new competition, the Water Discovery Challenge, that any organisation except wholesalers can enter. Ofwat plans to run two more of these competitions in AMP8 (2025-30). |
31 March 2027 |
Flagged |
O8. Develop and communicate ISA process including SOLR Publish a clear explanation of the market processes to safeguard customer supply and service if a retailer or wholesaler were to fail. The process will apply to all retailers and wholesalers giving customers confidence that their service and supply will be secure if they switch. |
June 2025: In May 2025, the Code Change Committee unanimously recommended the following two code changes for approval 1) Interim Supply: Initial Cost Support (CPW154) and 2) Interim Supply: Cost Recovery Mechanism (CPW153) (see the April 2025 update below for detail on what these aim to achieve). Subject to Ofwat's approval by 22 and 12 August respectively, the changes will be implemented on 12 September 2025.
April 2025: Ofwat will take two code changes to the May Code Change Committee (CCC) meeting to help encourage retailers to opt-in in as interim suppliers – the Cost Recovery Mechanism will help retailers recover the costs of taking on customers. The Cashflow Support Tool will help retailers access short term cash to take on new customers. These changes aim to ensure that retail services, including billing, are not interrupted. Following the CCC's recommendation, Ofwat will consult before issuing a final decision. |
31 March 2027 |
On schedule |
O9. Review the balance of regulation and competition Review the appropriate balance of regulation to protect customers and promote competition (supported by greater segmentation of smaller customers). This could include regulatory requirements for retailers to protect customers who have switched and come off the deemed rate from being placed on high standard variable rates at the end of their contracts. This aims to support the aspiration to gradually remove regulatory protections for sections of Group 1 customer as better data drives better understanding and engagement by them. |
July 2025: The only update from May 2025 is that the initial consultation on the 2025-26 review of Retail Exit Code (REC) protections in the market is now due to run from 10 July until 8 September.
May 2025: Ofwat outlined in its forward programme 2025-26 plans to commence its review of price protections applying to business customers in Q1 2025-26. In May 2025, set out the initial consultation on the 2025-26 REC review is due to run from 30 June - 15 August 2025. |
31 March 2028 |
On schedule |
For more information on how other stakeholders are progressing with their actions, please follow the links below.