The government has launched a consultation on tighter water efficiency standards for new homes, arguing that small design tweaks could both cut household bills and unblock housing developments stalled by water shortages.
The proposals would see Building Regulations amended so that all new-build homes incorporate basic water-saving features such as aerated taps, efficient showerheads, and dual-flush toilets.
The impact, while modest on an individual basis, is intended to be significant at scale. A reduction of 20 litres per person per day could save families in new homes around £111 a year on combined water and energy bills, while also easing pressure on local water supplies.
The government links this directly to its wider housing agenda, suggesting that efficiency standards could help remove barriers that currently prevent planning approvals in water-stressed regions such as Cambridge. According to Defra’s analysis, for every 5,250 homes built, water savings could enable an additional 1,000 homes to go ahead.
Framing the housing challenge
England is facing an unusual confluence of crises: a chronic housing shortage, a legally binding environmental agenda, and worsening water scarcity. Seven consecutive months of below-average rainfall have left five areas officially in drought, with climate change expected to intensify long-term risks.
Against that backdrop, the government’s ambition to deliver 1.5 million homes by 2030 has been obstructed in several regions where water supply has lagged demand. By reframing water efficiency as a lever for housing delivery, the consultation positions technical standards as part of the “Plan for Change” growth strategy.
Environment Secretary, Emma Reynolds, emphasised the link between infrastructure and growth:
“We are getting Britain building faster, and a key element to growth is smarter water consumption.
“Removing the water shortage barriers that have stalled development for too long will mean unlocking thousands of new homes while saving families money.
Not only will this make customer bills cheaper; it will protect the environment and unlock thousands of new homes as part of our Plan for Change.”
Industry reaction
Stakeholders in the housing and sustainability sectors broadly welcomed the consultation, though with calls for further ambition.
Dr. Tom Dollard, Chair of the Good Homes Alliance, said:
“Our membership is facing real challenges in delivering new homes due to a lack of water capacity in their areas.
“If we are to meet the Government housing delivery targets and unlock economic growth then we must start building more ‘water smart’ homes and neighbourhoods.
“We would like to see a refreshed Part G that is aligned to the water neutrality hierarchy, and a fittings-based approach combined with a water labelling scheme that would deliver water efficient homes at scale across the UK.
“We encourage all stakeholders from across industry to respond to this important consultation.”
Meanwhile, Ed Lockhart, CEO of the Future Homes Hub, highlighted the scale of the supply challenge:
“Water shortages are already constraining housing growth and the water supply shortfall at national and regional levels will widen without concerted action.
“To sustain delivery of new homes at the levels required for everyone to have a decent home, homes need to become progressively more water efficient, alongside large-scale investment in water infrastructure and demand management in other sectors.
“That is why the Future Homes Hub proposed a water efficiency roadmap for the new homes sector in the 2024 Water Ready report. We therefore welcome the Government consulting on proposed efficiency measures and look forward to working with the Government to ensure water efficiency can be implemented affordably at scale whilst delivering on customer expectations.”
A step, not a solution
The consultation runs for 12 weeks and proposes updates to Building Regulations 2010 Part G2, which many in the sector argue are outdated given the dual pressures of housing demand and climate change. Alongside it, the government is calling for evidence on future innovations such as rainwater harvesting for toilet flushing.
Still, efficiency measures alone will not solve England’s looming water crunch. Analysts stress that large-scale infrastructure investment—new reservoirs, interregional water transfers, and demand management across agriculture and industry—will also be critical.
If the proposals are implemented, they would contribute to the government’s broader goal of reducing per-person water use by 20% by 2038, and reaching just 110 litres per head per day by 2050.