Water Companies: Regulation

(asked on 7th October 2024) - View Source

Question to the Department for Environment, Food and Rural Affairs:

To ask His Majesty's Government whether they intend to conduct a review of whether Area and Regional Directors of the Environment Agency have any conflicts of interest with their role as regulators of the water industry, and if so, whether they intend to make any such conflicts public.


Answered by
Baroness Hayman of Ullock Portrait
Baroness Hayman of Ullock
Parliamentary Under-Secretary (Department for Environment, Food and Rural Affairs)
This question was answered on 18th October 2024

An annual assessment of declarations of interest takes place across the Environment Agency (EA). The EA has a Code of Conduct that applies equally to all employees including Area Directors and Directors of Operations (Regional Directors). All employees are required to make an annual declaration of interest even if it's to confirm that there are no interests to declare, as well as at any time, should a potential conflict arise. They must make a declaration when an actual or potential conflict arises, including the existence of any private interest which might influence or be reasonably thought by others to influence their impartiality or the performance of their duties under the contract of employment. In these situations, the EA assess the declaration and take steps to mitigate or avoid the risk of conflict. A serious failure to declare an interest could lead to disciplinary action resulting in dismissal on the grounds of gross misconduct.

The question of publication of Area and Regional Directors’ financial declarations has recently been the subject of a ruling from the Information Commissioners Office (ICO) which examined the balance of data protection and the public interest, given the current focus on water industry regulation. The ICO found that the Agency should publish relevant financial disclosures for those at Director level, and not for those at the Deputy Director grade, which includes Area Directors. The Agency intends to comply with this ruling.

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