Over 1,000 New Flood Schemes Announced

The Government and Environment Agency’s latest announcement to fund over 1,000 new flood schemes marks a significant milestone in flood risk management. With climate change driving increasingly severe and frequent flooding events, this investment will play a crucial role in safeguarding homes, businesses and infrastructure.

Key Takeaways

• The Government and Environment Agency has announced over 1,000 new flood defence schemes
• The investment aligns with the updated National Flood Risk Assessment (NaFRA2)
• Priority areas have been identified for flood defence improvements
• A mix of infrastructure and natural flood management techniques will be implemented
• According to the Environment Agency in 2025, “For every £1 spent on flood protection, £8 is saved in avoided damages”

Breakdown of the Announcement

The Government has committed a record £2.65 billion over two years to fund over 1,000 flood defence projects across the country. This funding aims to protect thousands of homes and businesses from the increasing risk of flooding caused by climate change. The schemes will include a combination of hard engineering solutions, such as embankments and barriers, alongside nature-based solutions like wetland restoration and tree planting.

This year, the breakdown of spending includes:

• £430 million going towards construction
• £220 million on reinstating flood defences to their full standard of service
• Further funding is earmarked for repairing existing flood assets

What Areas Are Going to Benefit?

Schemes to receive funding this year include:

• Derby Flood Risk Management Scheme: £34.6 million, protecting 673 homes
• North Portsea Island Coastal Scheme: £13.8 million, protecting 1,081 homes
• Preston and South Ribble Scheme: £10.4 million, protecting 1,537 homes
• Poole Bridge to Hunger Hill Flood Defences: £12.2 million, protecting 135 homes
• Bridgwater Tidal Barrier: £43 million
• Support for property flood resilience across Leicestershire, Derbyshire and Nottinghamshire: £2.5 million
• Phase 3 of the Stallingborough Sea Defences: over £7 million
• The Government has prioritised £140 million to ensure 29 schemes in progress but struggling with cost pressures can be delivered without further delays

The Cost-Benefit of Flood Defence

According to the Environment Agency, for every £1 spent on flood defences, the UK saves approximately £8 in avoided damages. In 2025, Public First released their report ‘From risk to resilience’ highlighting:

• Flooding causes approximately £2.4 billion in physical damages annually, projected to increase to £3.6 billion by 2050
• Flood events result in workers unable to reach workplaces for an average of 10 days, losing £290 million in output annually
• Each year of flooding exerts a decade-long downward pressure on the economy, amounting to at least £6.1 billion

The Link with NaFRA2

According to NaFRA2 data, the East Midlands, Yorkshire and the Humber, and South East regions have the highest number of properties in areas at high or medium flood risk from rivers and sea, accounting for about 52% of the total. When analysing the list of schemes for 25/26, the areas where the most properties will be better protected align closely with NaFRA data.