Water is a critical, yet often overlooked, risk for businesses today.
As the world grapples with increasing climate instability, water scarcity, and rising costs, the question businesses should be asking is no longer if water is a risk, but how big a risk it is for their operations, reputation, and sustainability commitments.
In the UK alone, water prices will surge 20% this year, and the situation is expected to worsen. According to a recent 2024 report, 63% of UK businesses are now facing significant water-related challenges – whether through rising costs, scarcity, or regulatory pressure. Despite this, only 28% have a formal water management strategy in place, leaving a massive gap between awareness and action.
Water scarcity is an economic multiplier. By 2030, global water demand is expected to exceed supply by 40% (UN World Water Development Report). Industries like agriculture, textiles, and semiconductors are already seeing output drops due to water constraints. This isn’t just a regional issue – it’s a supply chain time bomb.
Why water is a strategic risk
It’s easy to think of water as a commodity that flows from the tap, but for businesses, the story is much more complex. Water isn’t just about drinking or basic sanitation – it’s at the heart of operations in nearly every sector. As businesses confront price hikes, tighter regulations, and a growing demand for sustainability, it’s time to ask:
Is water a material risk for your business?
The reality is that for many, the answer is yes. Water is a direct risk to business continuity, product quality, operational costs, and long-term sustainability. Take, for example, the 2024 droughts in key agricultural areas of the UK, which have significantly impacted food and beverage production. As crops wither, costs skyrocket, and brands are forced to grapple with the reputational fallout of water shortages.
Investors are watching closely. Over $US 30 trillion in assets are managed by investors who consider ESG factors, and they’re increasingly linking water mismanagement to financial underperformance.
Why Waterscan is here to support
Water is no longer just an operational cost – it’s a strategic business risk. But managing water effectively isn’t as simple as turning off the tap or hoping the rain will come. That’s where Waterscan steps in.
We specialise in providing businesses with actionable insights, practical solutions, and long-term strategies for managing water risk across industries.
Our water audits, sustainability consulting, and supply chain integration services help businesses reduce costs, mitigate risks, and meet sustainability commitments. We understand that every business is different, and we work closely with our clients to tailor water management strategies that fit their unique needs and goals.
Data is the first step to control. Despite the risk, only 31% of companies assess water risks across their entire value chain (CDP).
The bottom line
Water is one of the most significant unmanaged risks businesses face in 2025, with far-reaching implications for cost, operations, and reputation. The question is not whether businesses should care about water – but how long they can afford not to. At Waterscan, we help large UK businesses transform water from a risk into an opportunity – protecting business, safeguarding bottom line, and positioning for long-term success.
