The regulated utility sector is a core pillar of the UK economy. Over the last three to four decades, it has overseen the transformation of utilities that deliver many of our essential services.
However, while the UK’s system of economic regulation is often praised as an example of best practice, there have been a number of shifts more recently that have impacted the effectiveness of the regulatory regime in delivering new investment.
In the much anticipated UK Spending Review, delivered today by Chancellor of the Exchequer Rishi Sunak, the Government itself acknowledges a need to provide a ‘clear and enduring framework for investors and businesses’ to support the model of independent economic regulation and GIIA welcomes the Chancellor’s commitment to preparing a policy paper on this topic to be shared in 2021.
‘The Future of Regulation’ lays out a set of core principles that we believe can effectively and fairly govern the UK’s regulated utility sector for decades to come, and will form a key part of our engagement with Her Majesty’s Treasury on this important policy area in coming weeks and months.