Regional Water Bills Projected to Rise by Nearly Half

Industry regulator Ofwat has indicated that annual water bills for Severn Trent customers are projected to increase by an average of 47% over the coming five years. Ofwat anticipates that the average yearly bill, currently £398 in 2024-25, will climb to £583 by 2029-30, marking the second most significant increase among the 11 water and wastewater companies operating in England and Wales. This average bill increase for Severn Trent customers, as forecast by Ofwat for the next five years, corresponds to a monthly rise of slightly more than £15, moving from £33.16 to £48.58. Severn Trent maintains that its bill continues to be the second lowest in England and has stated it initiated a support package designed to prevent any customer from struggling with their water payments. On Thursday, the company unveiled a £15bn plan, which allocates over £2bn towards enhancing river health and mitigating spills from storm overflows. Severn Trent also noted that this plan is expected to generate 7,000 new jobs within the region. The company stated that the comprehensive plan signifies an investment exceeding £3,000 for each household over the upcoming five-year period. Liv Garfield, Severn Trent’s chief executive, described the investment as “a huge boost” for the region. She commented: “We recognise that any increase can be hard, so to support any customer who needs help with their bill, we’ve launched a new financial support package – supporting around one in six households across our region during the next five years.” These cost increments surpass what Ofwat had put forward in July, yet they fall below the amounts water companies had sought. The regulator indicated that companies were anticipated to raise tariffs more significantly in the initial year, and these increases do not account for inflation, suggesting that actual bills could be higher. The Consumer Council for Water, an organization that assists in resolving customer complaints, stated that the bill increases are “more than what many people can afford.”