Why are water bills going up so much, and what does it mean for consumers?
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Household water bills in England and Wales will rise by an average of £157 over the next five years, following a ruling by the industry regulator. The increase has sparked anger from consumer groups, after many firms’ dire records on sewage spills and water leaks.
Environment Secretary Steve Reed said the public are “right to be angry”, and said the Government would reform the sector to “clean up our rivers, lakes and seas”. Here the PA news agency breaks down what happens next, and what it will mean for consumers.
– What happened?. Every five years, England and Wales’ regional water suppliers submit plans to regulator Ofwat for the upcoming half decade. The plans include how far they can increase bills over the period, plus how much they will spend on upgrading drains, sewers and reservoirs.
Ofwat then gives a draft ruling in July, kicking off about six months of final negotiations over how much firms can charge. Ofwat published its final decision on bills increases on Thursday. – What’s the damage?. Ofwat granted an average bills increase of 36% versus current levels, or £157 over the next five years.
The lion’s share of that increase, an average of £86, will come in 2025. Thames Water had asked for a rise of £231 by 2030, but that has been reduced to £152. But there are significant variations in price changes between firms. Under the plans, Southern Water customers will face a £222 increase over five years, while Dwr Cymru customers’ bills will go up by £185.
