Scottish Water has submitted its final Business Plan for 2027-33 to Water Industry Commission for Scotland (WICS), setting out how it proposes to invest in Scotland’s water and wastewater services over the next six years. The submission marks the start of WICS’ formal assessment of charges for the 2027-33 period.
The plan includes a proposed investment programme of £8.1bn and average annual charge increases to customers of 3.3% above inflation. The final level of charges will be determined by WICS following its review.
WICS reviewed Scottish Water’s draft Business Plan last year and provided detailed feedback, challenging assumptions on costs, efficiency and deliverability, and seeking stronger evidence that proposals represent value for customers. Scottish Water has responded well to that feedback including reducing its proposed annual charge increase from 4% to 3.3% and increasing ambition in areas such as drinking water quality and water environment outcomes.
WICS will now carry out detailed analysis of the final plan to ensure that expenditure is fully justified and represents best value for customers. WICS will continue to challenge Scottish Water’s proposals and assumptions through the determination process before coming to a final decision on charges for 2027-33.
WICS will publish its draft determination of charges on 30 June 2026 for consultation. Customers and stakeholders will be able to share their views before a final decision on charges is published on 29 October 2026.
David Satti, Chief Executive of WICS, said:
“This Business Plan reflects a significant amount of work by Scottish Water to set out how services can be sustained and improved over the next six years.
“A substantial increase in investment is proposed to respond to ageing infrastructure, growing climate change and regulatory pressures, and changing customer needs.
“But for customers, the key question is whether the proposed charges are justified.
“Our role is to test the plan rigorously for ambition, deliverability and value for money.
“As Scotland’s independent economic regulator, we will ensure customers pay no more than is necessary to secure safe, resilient and improving services.”
ENDS
Notes for editors
- WICS is the economic regulator of Scottish Water promoting the interests of both current and future customers. WICS is tasked with determining the ‘lowest reasonable overall cost’ that Scottish Water will have to incur to meet Scottish Ministers’ environmental, quality and service objectives for the industry. For more information visit: www.wics.scot
- Scottish Ministers set the Principles of Charging for each regulatory period which outlines the policy decisions about how water charges are collected and which discounts apply.
- Following detailed review of Scottish Water’s Business Plan, WICS will publish its draft decision on charges for the 2027-33 period on 30 June 2026 for consultation.
- WICS’ will publish its final decision on charges on 29 October 2026. Charges will apply from 1 April 2027 to 31 March 2033.
- Contact press@wics.scot for further information.