Ofwat has set out its five year business plan for 2016-17 to 2020-21 which the regulator said may change significantly from year to year, as circumstances change and its priorities evolve.

Ofwat has said it will “carefully consider the thoughts of the PAC”, following publication of the House Of Commons Public Accounts Committee report which said over-estimating by the water regulator had led to the water companies making at least £1.2 billion in windfall gains over the last five years.

Ofwat has said it sees “big opportunities” in the upstream value chain, in particular for water resources and sludge, which are not being utilised right now - but is not convinced that "water companies always have the most efficient ways of doing things.”

The Competition and Markets Authority, the UK’s primary competition and consumer authority, has published its first annual report since it took over the functions of the Competition Commission and certain consumer functions of the Office of Fair Trading in April 2014.

Sutton and East Surrey Water has accepted Ofwat’s Final Determination on the company’s  AMP6 Business Plan for 2015 – 2020. (Editorial correction: This story has now been updated)

Pennon Group, owner of South West Water, has announced that will not be applying for the Final Determination its AMP6 business plan received from Ofwat on Friday to be referred to the Competition and Markets Authority.