Water bills to rise by £10 a month in April

Households in England and Wales will see their average monthly water bills increase by £10 starting in April. Final figures show that this price hike will bring the average annual bill to £603, though there will be significant variations between different regions.

Water companies have pledged to invest more in infrastructure, such as reservoirs, and to provide more assistance to customers experiencing difficulties. However, consumer groups warn that this price increase means more families will fall into debt. The regulator Ofwat outlined the expected bill increases for the next five years last December, but traditionally these do not include inflation factors.

Industry body Water UK announced that the annual bill increases starting in April take into account the rising prices faced by suppliers, thus the increases are inevitably higher. This price hike means an average annual bill increase of £123, approximately £10 per month, but millions of households will face even larger increases. Customers of Southern Water will face a 47% increase, with annual bills reaching £703, while bills for Hafren Dyfrdwy and South West Water will rise by 32%. Thames Water customers have been told to expect a 31% increase, while Yorkshire Water will raise bills by 29%. Bournemouth Water customers will see their bills increase by 32%. Other factors, such as whether a customer uses a water meter and their water consumption, mean that bill changes will vary depending on the customer's specific circumstances. Earlier this week, water bills in Scotland were also announced to rise by almost 10% starting in April.

Bill increases for England and Wales over the next five years are being brought forward, with a significant rise this April, so that spending on new infrastructure such as new reservoirs can begin. Water UK chief executive David Henderson said: “We understand that raising bills is never welcome, and while we urgently need to invest in water and sewage infrastructure, we know that this price rise will be difficult for many people.” He added: “We acknowledge that we have underinvested in infrastructure, but we don’t decide how much to invest – that’s set by the regulator every five years.” Water companies say they will also allocate more than £4 billion over the next five years to fund social tariffs – discounted bills for vulnerable groups.

However, the Consumer Council for Water (CCW), which represents bill payers, says that the support is not enough, as around 2.5 million households are already in debt to water companies. “These price increases will put enormous pressure on millions of customers who are already having to make difficult choices,” said CCW chief executive Mike Keil. “Customers want to see investment in improved services and cleaning up rivers, but this cannot come at the cost of pushing struggling households into an impossible position.” The CCW says this is the biggest increase in water bills since the water industry was privatized 36 years ago. Ofwat chief executive David Black said: “We have pushed companies to double the level of support over the next five years and strongly encourage customers who are struggling to pay their water bills to contact their water company for help. While bills are rising, the £104 billion investment we have approved for the next five years will accelerate the delivery of cleaner rivers and seas and help ensure a long-term supply of drinking water for customers.”

What if I can’t afford my water bill? Various water companies offer a range of options for customers struggling to pay their bills, including debt support schemes, hardship funds, or payment holidays.