In response Severn Trent said hosepipe bans for Shropshire are not being predicted despite the Environment Agency’s drought forecasts.

Groundwater levels in the Shropshire Severn valley are currently exceptionally low and have been the lowest on record at some wells. The levels are at a lower starting position at the end of February compared to the same time of year in 1976.

Lord Chris Smith, Chairman of the Environment Agency said: “We are working with businesses, farmers and water companies to meet the challenges of a continued drought. Our report urges water companies, farmers and other businesses to look again at ways to improve short term water storage, share water resources where possible, and reduce the amount they and their customers use.

“A prolonged drought will have long term impacts on wildlife and habitats. The Environment Agency is actively monitoring the environmental impact of the drought and will take action to mitigate these impacts wherever possible.”

Environment Secretary Caroline Spelman said: “The recent Drought Summit highlighted the threats of another dry winter to various parts of the country, but more areas are likely to be affected unless there is significant rainfall in the coming months.

“We can all help reduce the effects of drought by being smarter about how we use water. Taking action now will help us all in the future.”

The Environment Agency has already seen a number of fish kills this year caused by dry weather, and is preparing for an increase in environmental incidents over the summer by stepping up river monitoring and increasing its supplies of water aeration and fish rescue equipment.

The Agency is also working to help farmers top up their storage reservoirs, to ensure there are better supplies for the summer months. It has introduced a fast track process for farmers to apply to take additional water when river flows are high, and continues to be as flexible as possible around existing regulations to help farmers, who suffer significant impacts in times of drought.