The current limit of £250,000 for fines that the Environment Agency and Natural England can impose directly on operators will be lifted following a government consultation that it said showed widespread public support.
New powers will enable unlimited penalties to be levied as a civil sanction for offences under the Environmental Permitting (England and Wales) Regulations 2016.
Environment secretary Thérèse Coffey said: “Polluters must always pay. We are scrapping the cap on civil penalties and significantly broadening their scope to target a much wider range of offences – from breaches of storm overflow permits to the reckless disposal of hazardous waste.
“It builds on action being taken right across government to stand up for our environment – tackling pollution, protecting delicate ecosystems and enhancing nature.”
Minister for environmental quality Rebecca Pow added: “By lifting the cap on these sanctions, we are simultaneously toughening our enforcement tools and expanding where regulators can use them. This will deliver a proportionate punishment for operators that breach their permits and harm our rivers, seas and precious habitats.
“This was one of the measures set out in our Plan for Water earlier this year. I am proud to say this government has acted swiftly so that this will now be enshrined in law, further strengthening the power of regulators to hold polluters to account.”
Environment Agency chair Alan Lovell said: “We regularly prosecute companies and individuals through criminal proceedings, but these new powers will allow us to deliver penalties that are quicker and easier to enforce, even though the most serious cases will continue to go to court.
“That should be an important deterrent – boosting compliance across a range of sectors, driving down pollution and safeguarding the ecology and prosperity of our natural world.”
The amendments to legislation will be put to parliament for approval in due course before coming into force.
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