The Chartered Institute of Internal Auditors is calling for all water supply companies to ‘have an internal audit capability’.

Anne Kiem, chief executive of Chartered IIA has written an open letter to David Black, chief executive of the Water Services Regulation Authority (Ofwat), criticising the regulator over the lack of oversight of water companies which have reported serious financial problems, specifically from the south of England.

The three companies named were Portsmouth Water, South East Water, and Sutton and East Surrey Water (SES Water). Across the country there are only 11 companies providing water and sewerage services.