Millions of customers to get up to £2,000 in water bill compensation under first shake-up in DECADES
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MILLIONS of water customers are set to benefit from huge hikes to compensation levels for the first time since 2000. New regulations from the Department for Environment, Food and Rural Affairs (Defra) will mandate water companies to provide higher, compulsory compensation to both customers and businesses.
![[The reforms have been welcomed by consumer groups, such as the Consumer Council for Water]](https://www.thesun.co.uk/wp-content/uploads/2024/12/TOB-CONSUMER-DEC-16_COMP-1.jpg?strip=all&w=960)
Compensation is typically offered to homes and businesses impacted by issues such as supply interruptions, sewer flooding, and low water pressure. However, the current compensation rates have remained unchanged since the turn of the millennium. Under the new rates, some customers will be eligible to receive £2,000 automatically if they are affected by a sewage flood, an increase from the current £1,000.
Issues such as low water pressure could see payments rise to a whopping £250, compared to the current £25. Following a supply interruption in South Staffordshire last month due to a burst water main, compensation for residents was not compulsory. However, under the new regulations, this incident could have warranted payments of £150 for households and £300 for businesses.
The government will also broaden the scope where compensation becomes mandatory. For example, compensation will now be required for any households issued with boil notices, typically given when drinking water quality falls below safe levels. Compensation will also be due when water suppliers fail to conduct meter readings or installations as scheduled.
