Industry Analysis & Industry Trends
The Water Collection, Treatment and Supply industry manages, stores and distributes clean water continuously to ensure all domestic and industrial needs are met. Due to the large start-up costs and equipment required, the industry is dominated by regional monopolies. All industry operators are subject to regulation in terms of prices charged and services provided. Companies in the industry submit a breakdown of their performance and five-year business plan to industry regulators, which then set the prices companies can charge.
Over the past five years, a growing UK population has stimulated industry expansion. An increase in the number of households has led to increased demand for industry services... purchase to read more
Industry Report - Industry Investment Chapter
The industry has a high level of capital intensity. Industry operators must invest large amounts to provide a reliable service. In 2016-17, depreciation is estimated to account for 21.4% of industry revenue, with wages estimated to account for 13.2% of revenue. The estimated capital-to-labour ratio in 2016-17 is 1:0.65. This indicates that for every £1.00 spent on capital, 65p is spent on labour.
Industry operators are in the second year of the AMP6 period. During this period, operators are expected to invest large amounts in capital to improve their services. Infrastructure spending is the most significant cost for the industry. Existing infrastructure requires maintenance and updates such as installation of more efficient equipment. Var.. purchase to read more