The annual expenditure of £8 million of the Environment Agency on tackling diffuse water pollution of has, to date, had little impact. Looking forward, the development of River Basin Management Plans now offers an opportunity to target work by the Agency and others to improve water quality and tackle this complex problem. In 2009, only 26 per cent of rivers, lakes and other water bodies in England met the required levels of water quality, as set out in the European Water Framework Directive. The Department for the Environment Food and Rural Affairs and the Agency do not expect that all English water bodies will achieve these levels by the 2027 deadline, as it may be disproportionately costly or not technically feasible. Unless the European Commission agrees a lower target accordingly, the United Kingdom could be exposed to considerable financial penalties. The Agency considers the agricultural sector to be the major contributor to diffuse pollution and this sector has been the focus of its activities. But there is limited information on the impact of different farming activities on water pollution and so it is not possible to establish whether the Agency is effectively targeting its resources. The Agency's advice and the voluntary initiatives across government on changing farming practices have had limited impact and need to be co-ordinated. Sanctions have proved relatively ineffective in changing farming practices and progress in improving them has been slow. The Agency also has limited evidence of the effectiveness of its inspection activity