I don't think British overall lead can be overtaken from the beginning, even if some other regions in Europe may gain ITTL. By the mid-18th century, Britain held technological advantage in almost every key sector, ranging from textile to metallurgy and more importantly, machine tools. It was no coincidence that most inventions were from Britain during the 1750s-1870s era. In addition, British policy of banning technological exports during 18th and early 19th centuries would (and IOTL did) slow down technological spread.
On top of that, Britain was already the strongest commercial power with a vast trade network, together with the most well-developed financial system.
As for large-scale water power, Scotland and Wales had plenty. And note that Scotland was already one of the foremost industrial centers during the OTL Victorian Era - so definitely a Scot-wank TL.