Water bills face further rises after funding approval
Water bills face further rises after funding approval

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Arabic version: فواتير المياه تواجه زيادات إضافية بعد الموافقة على التمويل

According to BBC News, water companies have provisionally been allowed to raise customer bills by an additional £3.4bn in coming years to address pressures on infrastructure and the environment. The extra funding applies to 13 companies in England and Wales, with nearly a third earmarked for maintaining water services.

Some funding is intended to meet demand linked to housebuilding and data centres, while other spending would address PFAS pollutants, also known as “forever chemicals”. Ofwat has approved provisions including new data-centre capacity in Manchester, extra wastewater capacity in Newquay and earlier work by Wessex Water on PFAS.

Customers of Severn Trent Water, Southern Water, Thames Water, Wessex Water and South East Water could face further rises over the next two years, on top of increases announced in 2024. Southern Water would charge £43 extra next year, while South East Water would charge £1 more in 2029. The other eight firms would recover additional spending through bills after 2030.

The regulator said companies had requested £4.3bn, with some proposed spending rejected. Helen Campbell, Ofwat’s executive director for delivery, said performance would be tracked and expenditure could be clawed back if expected improvements were not delivered. The plan is subject to public consultation, with a final decision due in December.

Prime Minister Andy Burnham said the proposal meant “real money out of family budgets” during cost-of-living pressures. River Action and Friends of the Earth criticised further increases, citing leaks, pollution and sewage. Water companies argue that higher investment is needed to replace pipes, build treatment plants and create reservoirs as heavy rain and heatwaves place greater pressure on infrastructure.

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