Thousands of Welsh firms licensed to abstract billions of litres of water as drought bites

Nation.Cymru staff/agencies

More than 2,500 businesses in Wales hold licences allowing them to abstract vast quantities of water from rivers, lakes and underground aquifers, campaigners have warned as parts of the country remain in drought.

Environmental charity River Action is calling for a review of abstraction licences across England and Wales, arguing the current system is no longer fit for a future of more frequent droughts and rising demand for water.

The warning comes after Natural Resources Wales declared drought in north Wales and the Upper Severn, while other parts of the country remain in prolonged dry weather following one of the driest Julys on record.

Analysis by River Action of Natural Resources Wales and Environment Agency data found there are 2,516 commercial abstraction licences in Wales, with 14,128 across England and Wales combined.

The licences permit private companies – including golf courses, drinks manufacturers and farming businesses – to abstract more than 33 trillion litres of water a year, although the charity stressed this represents the maximum volume allowed rather than the amount actually taken.

River Action said many licences support essential activities such as food production, renewable energy and manufacturing, but argued all permits should now be reviewed to ensure they remain environmentally sustainable.

The charity is also calling for a fully funded national water resilience plan, warning that climate change, population growth, new housing and the expansion of data centres will place increasing pressure on water supplies.

Its analysis also found that the eight water companies currently operating hosepipe bans across England and Wales abstract almost 14.7 billion litres of water a day to supply homes and businesses, while losing almost two billion litres of treated drinking water daily through leaks.

River Action chief executive James Wallace said the UK was not short of rainfall but was failing to manage water effectively.

“While millions of households face hosepipe bans, the UK still has no credible plan for securing and managing water in a hotter, drier future, even as demand continues to grow from new homes, industry and the rapid expansion of data centres,” he said.

“This isn’t about stopping essential industries from using water.

“It’s about bringing industries into a water-efficient future where every drop is valued and an outdated abstraction system is brought into the 21st century.”

Review

River Action is calling on governments and regulators to review every abstraction licence, prioritise public water supplies, food production and healthy rivers, encourage more water-efficient farming and industry, and require water companies to invest in fixing leaks, building reservoirs and restoring wetlands.

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