 The Environment agency, which has suffered a 10 per cent reduction in government funding, has said the cut will put parts of the country at risk of flooding.  In a report compiled by the National audit Office, the agency, which manages flood risk, said that it needed an annual increase of ?20 million, or 9 per cent more on its budget, to maintain protection from flooding in light of climate change and ageing defences. Communities would be increasingly reliant on locally secured money to maintain flood defences, the agency warned.