Customers will be given stronger protections against water firms under government plans to restore trust in the beleaguered industry.
Steve Reed is setting up a new water ombudsman with legal powers to resolve disputes, rather than the current voluntary system that is thought to lack teeth.
The environment secretary is embarking on “the biggest overhaul of water regulation in a generation” amid growing anger at poor service, spiralling bills and the pollution of Britain’s waterways.
He pledged on Sunday to cut pollution in Britain’s rivers in half by the end of the decade, eliminating it completely by 2035.
And on Monday he will outline the latest changes, which will expand the role of the Consumer Council for Water (CCW), bringing the sector into line with other utilities by creating a legally binding consumer watchdog.
The ombudsman will also provide a single point of contact for consumers with complaints, instead of leaving them uncertain about where to go.
The Department for the Environment, Food and Rural Affairs said the new watchdog would help “re-establish partnership” between water companies and consumers.
In May, a survey by the CCW found trust in water companies had reached a new low, with less than two-thirds of people saying they provided value for money.
Only 53 per cent said they thought what water companies charged was fair, even before the impact of a 26 per cent increase in bills that came into effect in April.
The new ombudsman is part of Mr Reed’s wider plans for a “root and branch reform” of the water industry, set to be unveiled alongside a major review of the sector on Monday.
Following publication of the review, he is expected to say: “The water industry is broken. Our rivers, lakes and seas are polluted with record levels of sewage.
“Water pipes have been left to crumble into disrepair. Soaring water bills are straining family finances.
“Today’s final report from Sir Jon Cunliffe’s Independent Water Commission offers solutions to fix our broken regulatory system so the failures of the past can never happen again.”
The key recommendation is expected to involve scrapping Ofwat and creating a new regulator, which could incorporate the work of the CCW.
Mr Reed on Sunday promised to make the UK’s rivers the cleanest since records began with a £104bn investment to rebuild the country’s crumbling sewage pipes.
Speaking to the BBC’s Sunday with Laura Kuenssberg, Mr Reed said Labour would unleash a “water revolution” in response to Sir Jon’s review.
He said leaky pipes and crumbling infrastructure has cost taxpayers tens of billions of pounds, promising the party would look to eliminate sewage pollution in rivers completely by 2035.
And, amid speculation Ofwat is to be scrapped, he said the water regulator “has failed everyone”.
Mr Reed said: “I’m making an absolute commitment, and I’m committed to delivering it.
“My intention, assuming I’m lucky enough to still be in the same job in five years’ time, I would love to sit here with you then and point to places like Windermere and see how much cleaner they are than today.”
Asked whether he would put his job on the line, he said: “Politicians come and say we’re going to do things. Of course our job should be on the line if we don’t.”
