Thames Water among suppliers set to be allowed to hike bills
Ofwat gives provisional approval for five water firms to hike charges
Last updated 1 hour ago
Thames Water is among five water firms provisionally permitted by Ofwat, the industry watchdog, to increase customer bills from 2027 to 2030.
The increase forms part of a plan enabling suppliers to invest an additional £3.4 billion to upgrade networks in response to new housing and data centre demands and to tackle forever chemicals to ensure the safety and reliability of drinking water.
Thames Water, alongside Severn Trent Water, Southern Water, Wessex Water, and South East Water, is set to adjust charges following Ofwat's draft determination.
This follows a review lasting three months, during which thirteen suppliers across England and Wales originally sought further investment totalling £4.3 billion.
The consultation on Ofwat's draft decision will run until 24th September, with a final decision expected in December.
Helen Campbell, executive director for delivery at Ofwat, said, “The newly agreed funding will help unlock much-needed new housing development and boost business growth across a range of sectors, as well as improving drinking water quality and the removal of PFAS and forever chemicals.
“We will track performance to ensure companies are delivering the expected improvements for customers and the environment. If they don’t, expenditure can be clawed back.”
Environment Secretary Angela Eagle acknowledged concerns over household spending, stating, “I know that households across the country are watching every pound and I share their frustration that years of underinvestment and toothless regulation has led to this.
“We have already ringfenced money earmarked for new infrastructure so it can only be spent on fixing the problems, and will go further by fundamentally reforming the water sector so that it works for the public; keeping bills as low as they can be, and delivering higher standards, better performance and cleaner waterways.”