Question to the Department for Environment, Food and Rural Affairs:
To ask Her Majesty’s Government what is the estimated number of new entrants expected in the deregulated water marketplace.
We expect the number of new entrants in the expanded Anglo-Scottish market for non-household retail services to grow over time ahead of the extension of choice to all non-household customers in English in April 2017.
At this point it is not possible to give a definitive number of new entrants likely to be in the market in April 2017. However, there are currently 12 new entrant companies who are licensed to operate in the existing retail market in England and there are 18 licensed providers in the Scottish retail market. Eight of these companies are currently licensed in both jurisdictions.
There are 18 water and sewerage undertakers some of whom have already established separate retail companies and all of which will have the opportunity to exit from the non-household retail market at market opening which may also increase the number of entrants to the market.
The Open Water Programme, involving Government, Industry and Ofwat, is preparing for market opening and is in contact with a number of additional businesses that are considering entering the market. These prospective retailers are playing an important role in helping to shape delivery of the programme and ensure a level playing field for all participants in the market.