Businesses have been urged to address the growing threat presented by water shortages, after a new report today details how 80 per cent of UK imports by value come from geographies deemed to be at risk of water stress.

 

Companies should assess their supply chains in the UK and overseas to see where risks of water scarcity, poor water quality or reputational damage associated with their use of water might arise, WWF-UK's new report From Risk to Resilience: Does your business know its water risk?.

 

The paper says 80 per cent of all UK imports by value face at least a moderate level of water risk, while 40 per cent come from countries that have 'hot spots' facing high levels of water risk.

 

Water-related risks could be a serious issue for a range of industries, including beverages, food and pharmaceuticals, the report warns. But WWF-UK identifies the textile sector as facing the highest level of water-related risk.

 

The report reveals 60 per cent of clothes imported to the UK, worth £9.7bn, come from areas with high levels of water risk.

 

The issue could also prove a threat to companies manufacturing or sourcing goods within the UK, the report warns. Environment Agency figures reveal just 17 per cent of England's rivers are in good ecological health - with a third of the pressures leading to river failure attributed to agricultural impacts, closely associated with the production of food and drink.

 

Managing water is now recognized as one of the key challenges of the 21st century, with the World Economic Forum 2015 Global Risk Report ranking water crises as the top risk to the global economy, rising from third position in 2014.

 

The WWF report outlines a number of steps businesses can take to address their water risks and sets out 10 'golden rules' to follow, including working with catchment neighbors, NGOs, and their supply chain to reduce risk, as well as using their influence to advocate for improved management of rivers, lakes and aquifers.