Water Scarcity Affecting Housing Projects Could Cost Economy £25bn
New research carried out by a policy, research, opinion and strategy consultancy has found that water scarcity in the UK could cost the economy £25 billion over the next five years through undelivered housing developments, with around 150,000 more properties needed to be built in the east and south-east of England.
The Public First study – carried out on behalf of the Chartered Institution of Water and Environmental Management (EWas part of its Enabling Water Smart Communities (EWSC) project – revealed that nearly 40 per cent of the necessary homes will not have the water capacity required for construction.
How does water scarcity affect the housing market?
Water scarcity is becoming more problematic as time goes on and climate change, changing weather patterns, more frequent extreme weather events, urbanisation, pollution and population growth put increasing amounts of pressure on resources.
Demand for water is on the rise, which will only exacerbate the situation, with more than half of the global population experiencing severe water scarcity for at least one month out of the year… and this is only expected to get worse in the future.
For the built environment, it is now more important than ever to reduce demand and improve the water efficiency of new-build developments and the existing housing stock.
Construction sites use a significant amount of water for general purposes such as dust suppression, hydrodemolition, cleaning and employee welfare, so it’s essential that a site water management plan is developed to anticipate water need, see where demand can be reduced and find processes where non-potable or recycled water can be used instead.
If such measures are not implemented, housing developments will stall – or they may not even be granted approval in the first place, with water scarcity dictating where and when homes can be built.
The Public First study indicated that £18.3 billion could be lost to the economy as a result of reduced construction activity, as well as £6.3 billion in diminished land value uplift and £344 million in reduced productivity in high-value areas.
As such, it will be essential to address water scarcity issues through the adoption of smart housing solutions, mitigating potential losses and driving sustainable growth in the most economically significant parts of the UK.
Catherine Moncrieff, policy engagement manager with the CIWEM, said: “Water systems and housing are deeply interconnected, and addressing water scarcity is critical for unlocking new homes and driving economic growth.
“By adopting water-smart housing standards and integrated water management, we can build resilient communities and create billions in economic value. Regulatory reforms would represent a quick win for a government wishing to address water challenges and meet vital housing targets.”
New builds
New housing developments will need to prioritise water efficiency and sustainability from the outset, minimising additional pressure on the water environment and aiming to be water neutral in those areas that are already facing water stress, or which are predicted to be affected in this way in the future.
New water efficiency standards for such developments will be necessary, coupled with incentive schemes to push developers even further, innovation to reduce costs, greater collaboration between developers, water companies and the government, and the use of more effective water-saving solutions in homes.
Luckily, there is already public support for water-smart solutions, with the study revealing that 70 per cent of those asked said they’re already conserving water, with the majority open to water recycling. Greywater in particular was found to have high levels of support for uses around the home.
Integrated water management lead with Anglian Water George Warren commented: ““We need to future-proof new developments with dual supply pipes for using lesser-quality water, reducing treatment energy and using resources like floodwaters.
“Retrofitting is costly and impractical, making it far cheaper to integrate this infrastructure during construction. The EWSC project aims to demonstrate a clear path for delivery, ensuring long-term water security for the homes we build today – homes that will serve us for the next century.”
Existing housing stock
To really reduce pressure on water resources, it will also be necessary to improve water efficiency in existing buildings, reducing water waste through the scaling-up of domestic water-saving initiatives. This will involve engaging more with landlords and housing providers, as well as homeowners and tenants.
Mitigating economic losses
The study concluded that the implementation of water-smart standards in new developments could claw back up to £20 billion of the projected economic losses, enabling the building of almost 50,000 extra homes in places like Cambridge and the south-east, both of which are productivity-critical regions.
Furthermore, delivering water efficiency improvements of 30 per cent would see 43 per cent more homes constructed without having to drive up water demand in constrained areas.