Average rise of 4.6% for water bills

25th Feb 2011 12:16

Rising inflation rates are feeding through to water bills with consumers facing an average increase in annual charges of 4.6%, according to Ofwat. The water industry regulator had agreed with the water companies that average bills should fall by 0.1% before inflation is taken into account. The inflation rate used this year is 4.7%, which is the annual RPI increase for November 2010. The average bill for 2011-12 is estimated at £356. Welsh Water is asking for the lowest rise among the combined water and sewerage companies. Its bills are increasing by 2.7% to £411. Yorkshire's bills are increasing by 3.4% to £339, while Unitied Utilities is charging 3.9% more taking the cost to £376. South West Water, which is owned by Pennon, is increasing its bills by 5.1% to £517, while Severn Trent is raising its bills by 4.3% to £311.At the other end of the scale, Northumbrian is increasing its bills by 7.8% to £336. Southern's bills are up 6.4% at £397. Northumbrian's subsidiary Essex & Suffolk is putting through the highest increase of any water-only company with its bills rising 9.1% to £153. Portsmouth Water has increased its water charge by 2.5% and, at £91, it remains the lowest charge in England & Wales. The industry average for a water-only bill is £174. The water companies have promised to invest £22bn in their infrastructure between 2010 and 2015. By reducing leaks and improving efficiency this should save more than 100bn litres of water a year.