People in the highest flood risk areas will be better protected against spiralling insurance costs as Flood Re comes one step closer to implementation.
After ongoing negotiations with the Association of British Insurers (ABI) and Flood Re, an agreement has been reached on a number of matters regarding how Flood Re will operate. This will enable legislation to be laid in Parliament next year and - once approved by the financial regulators - enable Flood Re to operate as a reinsurer.
This comes at the same time as the government publishes its response to the public consultation carried out in the summer.
As part of the package of measures, the criteria has been widened to include further properties that will be eligible for Flood Re. This received wide support in the public consultation and from the insurance industry, which has agreed to fund this without passing costs on to other consumers.
Announcing the agreement, Environment Secretary Elizabeth Truss said:
"Whilst nothing can take away the distress that flooding can cause, having access to affordable insurance will give people peace of mind."
For the first time, we will ensure access to affordable flood insurance for people regardless of where they live. I’m delighted that we are one step closer to making this a reality and protecting people from spiralling insurance premiums.
Flood Re’s Chief Executive, Brendan McCafferty said:
My top priority when I became CEO in November was to lead Flood Re through the negotiation of some very difficult issues. I am very pleased that we have reached a deal that will work for Flood Re, insurers, government and, most importantly, consumers.
Flood Re is of huge importance to hundreds of thousands of householders at risk of flooding, and this agreement allows us to progress beyond the design phase so that Flood Re can become a reality.
The ABI’s Director of Policy and Deputy Director General, Huw Evans said insurers are investing £17 million and thousands of hours of expertise to get Flood Re built and to play their part in helping manage this country’s flood risk.
Click here for further details of the agreement to include Band H properties (Band H and I in Wales).
With the UK government demanding a 50% reduction in storm overflow spills by 2029, the era of reactive management is over. Speaking in the House of Commons on 21 July 2025, then environment secretary Steve Reed said, “This Government will cut water companies’ sewage pollution in half by the end of the decade.”
ERG, the leading supplier of odour control systems and industrial gas cleaning & thermal systems, has been awarded the coveted King’s Award for Enterprise.
Welsh Water’s new artificial intelligence-driven tool, ORAI, has been shortlisted for three categories at the prestigious British Data Awards 2026 – underscoring the company’s commitment to using cutting-edge technology to deliver better outcome for customers.
Barhale has completed work on two separate Rapid Action Taskforce Spills projects it is carrying out for Severn Trent.
Hear how Scottish Water has completed its £235 million Ayrshire Glasgow Resilience Project - customers across Greater Glasgow, Ayrshire and East Renfrewshire will now benefit from a more secure and resilient water supply.
Hear how United Utilities is accelerating its investment to reduce spills from storm overflows across the Northwest.
Find out more about the remarkable career opportunities on offer at WSP - scroll down to watch the inspirational video.