Average water bill to go up £94 over five years - see how much more you are set to pay
11 July 2024, 07:32 | Updated: 11 July 2024, 09:41
The average water bill is set to go up by £94 over the next five years, the regulator has announced, with the money to be used to reduce spills and leaks.
Listen to this article
Loading audio...
Ofwat said that it had pushed back on proposals by water companies with its draft increases. The companies wanted to charge customers even more than the increases it has allowed.
Companies' business plans proposed increases averaging £144 over five years, compared to the £94 announced on Thursday.
Thames Water's proposed increase of £191 by 2030 has been reduced to £99, the regulator said, while Severn Trent's proposed increase of £144 had been reduced to £93.
Feargal Sharkey calls for an 'entire restructuring' of the water regulatory system
The water industry has been under scrutiny in recent years, with much media and political attention devoted to sewage spills and financial problems of the privatised providers.
Labour is set to promise a crackdown on the water industry on Thursday, with consumers to get higher compensation for failures, and people set to gain the ability to hold water executives to account.
Read more: Thames Water boss defends bonus package despite growing debt and surge in sewage spills
Ofwat chief executive David Black said: "Customers want to see radical change in the way water companies care for the environment.
"Our draft decisions on company plans approve a tripling of investment to make sustained improvement to customer service and the environment at a fair price for customers.
"These proposals aim to deliver a 44% reduction in spills from storm overflows compared to levels in 2021. We expect all companies to embrace innovation and go further and faster to reduce spills wherever possible.
"Today's announcement also increases the resilience of our water supplies to the impact of climate change and will reduce how much water is taken from rivers by enabling a range of long-term water supply projects, which includes plans for nine reservoirs.
"Let me be very clear to water companies. We will be closely scrutinising the delivery of their plans and will hold them to account to deliver real improvements to the environment and for customers and on their investment programmes."
