Europe’s water systems are under growing pressure due to events such as flooding, water scarcity and declining water quality occurring at the same time, new analysis from Sweco has found.
According to Sweco, the combined impact of these concurrent events, coupled with underinvestment in Europe’s water infrastructure, is creating long-term risks and costs that are not fully reflected in current pricing or investment decisions.
‘Too much, too little, too polluted’
In its report, entitled Too much, too little, too polluted, Sweco drew on European data as well as its own engineering and architectural research, to explore how climate-related weather events, pollution and ageing infrastructure are converging faster than economic models have planned for.
As it noted, around a fifth of Europe‘s land area and 30% of its population experience water stress each year, while flooding across the continent caused an estimated €18 billion in damage during 2024 and affected more than 400,000 people.
At the same time, around a third (32%) of Europe’s groundwater bodies are under pressure from diffuse pollution, largely linked to agriculture, while contaminants from pharmaceuticals and PFAS chemicals are found in most European water bodies.
Water challenge
“Europe’s water challenge no longer concerns isolated events or individual regions,” commented Mattias Salomonsson, water expert at Sweco. “Sweco’s analysis shows that flooding, scarcity and pollution must be managed as one interconnected system, or the risks will continue to grow and threaten Europe’s water security, public health, infrastructure reliability and economic stability.”
A key finding of the report is a growing gap between the long-term cost of water management and current water tariffs and investment decisions. As Sweco noted, much of the continent’s water infrastructure was developed decades ago, and is not equipped to deal with current climate conditions or treatment requirements.
Sweco identified six measures it believes are needed to strengthen resilience across Europe’s water systems. These include mandatory water risk assessments, long-term municipal water strategies, infrastructure renewal programmes, resilience-focused utility operations, integration of water risks into investment and insurance decisions, and land-use planning measures designed to reduce flood and pollution risks.
“The true cost of water extends far beyond the water bill,” Salomonsson added. “Failure to consider future flood damage, supply disruptions, stricter regulation and environmental degradation at an early stage means that risks and costs increase over time.
“However, solutions do exist and across Europe, Sweco is supporting public and private clients in strengthening water systems through long-term planning, risk-based investments and integrated approaches that increase resilience.” Read more here and here.

