Following a presentation on Ofwat’s recently published methodology for the 2014 price review, Cox suggested companies could consider giving something back to customers in the event of a windfall.
The assembled investors and analysts heard that Ofwat’s new more flexible style of regulation would allow innovation while putting the onus on companies to justify their business plans.
Cox said: “It is not a free-for-all. What we are signalling is we are willing to put more back to companies. But there will be a high hurdle to companies that want to get that lighter touch regulation.”