As water demand grows and utility costs rise, borehole water systems are becoming a popular option for developers across the UK. The type of system you choose can make a big difference to cost, compliance and project timeline.
What is a Borehole System?
A borehole water system is a self-contained supply solution that accesses water stored in underground aquifers via a narrow, vertical shaft drilled 20 to 100+ metres deep.
Private Borehole Systems
Private boreholes are for rural homes or small-scale developments with water use under 20 cubic metres per day. No Abstraction Licence is required under this threshold.
Benefits: Cost savings after installation, no licence required, improved water quality, drought resilience.
Commercial Borehole Systems
Commercial boreholes are designed for high-demand applications — housing developments, golf courses, manufacturing, agriculture — abstracting 20 to several hundred cubic metres per day. A full Abstraction Licence from the Environment Agency is mandatory.
Benefits: Significant cost savings on water bills, control over water quality, business continuity, sustainability credentials.
Legal Considerations
- Environment Agency Regulations – Any abstraction over 20m³/day requires a licence
- Hydrogeological Surveys – Required before drilling to assess viability
- Planning Permissions – May be required depending on location and scale
- Monitoring and Maintenance – Ongoing compliance with licence conditions
At Nicholls, we specialise in helping developers plan, license and install borehole systems. Contact our experienced team today.


