Andy Burnham is facing criticism, including from his own allies, over proposals to set up regional "boards" to oversee England's water industry, as the Government appears to be stepping back from full nationalisation. The quango-style bodies would bring together mayors, officials and other stakeholders to monitor water firms, but ministers are reportedly wary of the cost and legal difficulties involved in bringing suppliers into public ownership, despite Burnham's vocal criticism of privatisation and rising bills.

Under the scaled-back plan, nine regional boards featuring local political leaders, public health and environmental officials and customers could be established, an idea drawn from Sir John Cunliffe's Independent Water Commission report of June last year and possibly to feature in a forthcoming "10-year plan" speech. Labour MP Clive Lewis warned the boards would be "worse than useless" unless given real powers, such as banning dividend payments or cutting prices, while Conservative and Liberal Democrat critics argued the proposal adds bureaucracy without addressing sewage discharges or rising bills.