Water bills set to rise by more than expected

Published On Oct 21, 2024, 7:04 PM

Water bills in the UK are set to increase more than previously anticipated as the regulator Ofwat is considering allowing a rise of over 21% above inflation for 2025 to 2030. This adjustment is necessary due to higher financing costs and the need for significant investment in water infrastructure, particularly in light of population growth and climate change challenges. Thames Water has indicated it needs a 59% increase in bills to survive. The government will soon announce a major overhaul of the water industry, aiming to protect customers while facilitating necessary investments. Growing dissatisfaction among customers and investors is leading to critical changes in the industry's regulatory framework.