MASHINIi

UNITED UTILITIES GROUP PLC.

UU.LSE | Water collection, treatment and supply

United Utilities Group PLC is a water company that provides water and wastewater services in the North West of England. It manages water resources, treats and supplies water to households and businesses, and collects, treats, and disposes of wastewater. The company maintains and invests in infrastru...Show More

Ethical Profile

Mixed.

United Utilities Group PLC faces significant ethical scrutiny. Reports suggest it released raw sewage for over 425,491 hours in 2022, including 246 days into Windermere. A BBC investigation allegedly revealed the company downgraded pollution incident severity. The ICO also issued recommendations for failing to handle environmental information requests. Conversely, United Utilities offered £280M affordability support to 80,000+ customers and reduced storm overflows by 39% (2020-2023). It uses 100% renewable electricity and boasts a 98.3% waste diversion rate. Employee engagement is 81%, and a 2023 pay dispute was resolved.

Value Scores

Better Health for All-10
-100100
Fair Money & Economic Opportunity0
-100100
Fair Pay & Worker Respect20
-100100
Fair Trade & Ethical Sourcing0
-100100
Honest & Fair Business-30
-100100
Kind to Animals10
-100100
No War, No Weapons0
-100100
Planet-Friendly Business-20
-100100
Respect for Cultures & Communities20
-100100
Safe & Smart Tech-40
-100100
Zero Waste & Sustainable Products10
-100100

Better Health for All

-10

United Utilities' core services of water supply and wastewater treatment are essential for public health. However, the company has experienced significant failures, including a 2015 cryptosporidium contamination that affected 700,000 customers

1
. In 2022, the company released raw sewage for over 425,491 hours
2
, causing significant environmental and potential health impacts. Despite these issues, the company has undertaken substantial remediation efforts, achieving a 39% reduction in storm overflow activations between 2020 and 2023
3
and committing £230 million to improve river health by 2025
4
. The company's revenue is derived from essential services, not products with inherent negative health outcomes. The company does not hold healthcare-related patents, produce food or nutritional products, have products with addiction potential, or conduct clinical trials.

Fair Money & Economic Opportunity

0

United Utilities Group PLC is a water company, not a financial institution. As such, most KPIs related to financial products and services, such as underserved client share, pricing fairness, exploitative fee exposure, inclusion initiatives, data accessibility, wealth building outcomes, financial literacy initiatives, debt burden ratio, geographic inclusion, and product simplicity, are not applicable. The company does offer payment plans and assistance programs to help low-income households manage water bills.

1
A regulatory fine of £800,000 was issued, but the evidence does not specify this was related to discriminatory or unfair lending practices, therefore the fair lending compliance KPI is omitted.
2

Fair Pay & Worker Respect

20

United Utilities Group PLC has 90% of its employees under collective representation.

1
Employee engagement reached 81%.
2
The company reported a median gender pay gap of 14.7%, which is below UK averages, with ongoing efforts to reduce this gap.
3
In June 2023, over 1,000 employees voted to strike over pay.
4
leading to a revised offer that included a pay increase from 7.5% to 8.6% and an additional £1,000 payment, resulting in a cumulative increase of 16.6% to 17.7% since 2020, plus one-off payments totaling £1,500.
5
The company received the RoSPA gold standard medal for health and safety for the 11th year
6
and achieved ISO 45001 certification.
7
It enhances modern slavery mitigation with independent reviews and improved procurement processes.
8
Additional benefits include virtual GP and menopause support.
9
United Utilities was ranked highest in the Inclusive Top 50 UK Employers List
10
, exceeded 40% gender representation on boards and in leadership
11
, and has 33% female apprentices and 48% female graduates.
12

Fair Trade & Ethical Sourcing

0

As of 2023, nearly 90% of United Utilities' targeted suppliers had signed up to its Responsible Sourcing Principles.

1
The company has identified no abuses related to modern slavery and continues to assess and manage potential risks within its supply chain.
2

Honest & Fair Business

-30

United Utilities Group PLC has faced significant ESG controversies, being identified as the worst-polluting company in the UK in 2023 due to sewage discharge incidents.

1
A BBC investigation also revealed the company downgraded the severity of pollution incidents to improve performance metrics.
2
The UK Information Commissioner's Office issued a recommendation for the company to improve its handling of environmental information requests, though this was not a fine.
3
In response, the company committed to enhancing transparency by detailing response compliance on its website starting November 2024 and hired additional staff.
4
On a positive note, the company maintains a comprehensive anti-bribery and corruption policy, which reported no breaches or compliance enforcement actions in fiscal year 2023/24, and all identified employees completed anti-bribery training.
5
It also provides a 24/7 confidential whistleblowing mechanism, offering protection from reprisals for those reporting concerns about fraud, dishonesty, and corruption.
6

Kind to Animals

10

United Utilities manages 56,000 hectares of land

1
, with over 75% under statutory designation
2
. They have surpassed their 2030 peatland restoration target, completing 3,000 hectares
3
, and planted over 640,000 trees in the last five years
4
. 91% of Sites of Special Scientific Interest (SSSIs) on their land meet ‘favourable’ or ‘unfavourable (recovering condition)’ status
5
. The company partners with the RSPB
6
, with documented successes including red squirrel breeding
7
, water vole reintroduction
8
, and support for threatened species such as hen harriers
9
. In 2023, they ceased grouse shooting on their moorlands to focus on conservation
10
and lead an £8.9 million program for nature-based solutions
11
.

No War, No Weapons

0

United Utilities has a robust Human Rights Policy aligned with the UN Guiding Principles on Business and Human Rights

1
and supports the UN Global Compact Principles.
2
The company has retained its Corporate Ethics Mark from the Chartered Institute of Procurement and Supply (CIPS) for five consecutive years
3
, with 100% of staff involved in supplier selection or management completing the CIPS Ethical Procurement and Supply E-learning course.
4
No issues related to modern slavery or human trafficking have been reported.
5
The Human Rights and Modern Slavery Act Compliance Group meets monthly.
6
The company received the MoD Employer Recognition Scheme Gold Award
7
, reaccredited for five years
8
, for supporting military personnel and veterans, including an employee's 12-month career break for reservist duties
9
and volunteering at a veterans' retreat.
10
Following the conflict in the Middle East, the company is completing impact assessments to evaluate suppliers with potential links to conflicts.
11
As a water utility, the company has no direct involvement in arms or defense-related activities.

Planet-Friendly Business

-20

The company's total Scope 1, 2, and 3 greenhouse gas emissions are forecast at 1.139 M tCO₂e for 2025

1
, with a 3.6% reduction in 2022/23.
2
Its near-term, long-term, and net-zero science-based targets, covering all three emission scopes, were approved by the SBTi in July 2024
3
and are aligned with the 1.5°C ambition of the Paris Agreement.
4
Since October 2021, 100% of the company's electricity has been sourced from renewables, with 23% generated on-site.
5
The company diverts more than 98% of its waste to beneficial use.
6
It reports 95% of its capital expenditure is aligned with the EU Sustainable Taxonomy.
7
The company owns and manages 56,000 hectares of land
8
, with 91% of its 22,523 hectares of Sites of Special Scientific Interest (SSSIs) in favourable or recovering condition.
9
It has surpassed its 2030 peatland restoration target, completing 3,000 hectares
10
, and planted over 640,000 trees.
11
Operations do not reside in areas of water scarcity.
12
The company targets zero serious pollution incidents and has consistently achieved 'green' status on serious pollution incidents in the EA’s Environmental Performance Assessment.
13
Its net-zero target year for all three emission scopes is 2050.
14
Disclosures are aligned with TCFD recommendations
15
, and climate scenario analysis includes 1.6°C, 2°C, and 4.3°C pathways, integrated into planning.
16
The company provides affordability support to 414,000 households since 2020
17
and plans to double this support.
18
Its AMP8 activities will support 30,000 jobs, including 7,000 new ones, with training and development opportunities.
19
£3.1 billion of proposed AMP8 investment is dedicated to tackling storm overflows.
20
However, the company states it will not buy carbon offsets at scale before 2030.
21
Only 23% of construction suppliers (by emissions) have SBTi-verified targets, with a target of 66% by 2025.
22

Respect for Cultures & Communities

20

United Utilities actively supports the preservation of cultural and heritage sites. The company founded the Rivington Heritage Trust, which focuses on preserving Rivington Terraced Gardens. The trust has received a £3.4 million grant from the Heritage Lottery Fund to conserve these historical and cultural sites.

1
Additionally, United Utilities' Better Rivers Better North West Community Fund provided equipment to a heritage group in Warrington, enabling them to continue conservation work in Paddington Meadows nature reserve.
2
No incidents disrupting cultural or heritage sites were reported.

Safe & Smart Tech

-40

In October 2024, the UK Information Commissioner's Office (ICO) issued a practice recommendation to United Utilities for failing to properly handle requests for environmental information

1
and not responding within the legal timeframe
2
. The company was instructed to improve its compliance with the Environmental Information Regulations (EIR).
3

Zero Waste & Sustainable Products

10

United Utilities achieved a 98.3% waste diversion rate in 2024/25.

1
This includes 100% of wastewater and water sludge being repurposed.
2
The company's supplied bottles are 100% recyclable and contain at least 25% recycled materials.
3
Circular economy principles are applied to design out waste, circulate materials, and regenerate nature.
4
Waste reduction initiatives include a 15% decrease in overall waste volume in the last year.
5
Hazardous waste management diverts 98% of hazardous waste to beneficial use, following a detailed consignment note process.
6
The company had zero serious pollution incidents in 2022
7
and consistently receives high ratings in the Environment Agency's Environmental Performance Assessment.
8
Suppliers are required to comply with waste obligations, measure and report waste, and are encouraged to improve waste management and reduce packaging.
9
Customer education includes campaigns promoting water efficiency and 'What not to flush' initiatives.
10

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AI-generated analysis based on publicly available data. Not financial advice. Ratings are expressions of opinion derived from automated models and may contain inaccuracies. See our Risk Disclosure for full details.