MILLIONS of water customers could be forced to fork out an extra £156 a year on their bills under new plans.
Water companies have set out a five-year plan to stop 140,000 sewage overflow spills a year.
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The £96billion package, which would be rolled out between 2025 and 2030, would also fund 10 new reservoirs and improve infrastructure.
But consumers in England would be asked to fork out more on their bills to cover the package to the tune of £7 a month from 2025.
This will rise to £13 a month extra by 2030 – £156 more a year – should the plans be approved by regulator Ofwat.
It comes with energy bills hundreds of pounds higher today compared to the same time period in 2021.
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Stubbornly high inflation means consumers’ money is not going as far too, plus water bills have risen by a whopping £448 just this year.
David Henderson, chief executive of Water UK, which represents industry, said he recognised increased bills were “never welcome” but urged regulator Ofwat to sign off on the proposals so the sector could counter sewage spills “as fast as possible”.
Environment secretary Therese Coffey meanwhile said “major improvements” were required, having called for water firms to “step up and deliver lasting changes” with the plans.
Ms Coffey said she has been “very clear” with Ofwat that “customers should not pay the price for poor performance”.
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Water companies said the planned investment would cut leakages by more than a quarter by 2030 compared with the start of the decade.
Under the plans, nature-based schemes to manage rainwater will be created and technology brought in to better manage flows.
Meanwhile, Water UK said 30,000 new jobs and 4,000 apprenticeships would be created to help deliver the plan.
Mr Henderson added: “These record-breaking investment proposals will secure our water supply as we deal with a changing climate and a growing population.
“While increasing bills is never welcome, this investment in our country’s infrastructure is essential to ensure the security of our water supply.
“Water companies are seeking regulatory approval to reduce overflow spills into rivers and seas as fast as possible and to doubling the number of households receiving support to pay their bills.”
The plans will be put to Ofwat who will either approve them or not.
Ofwat chief executive David Black said: “Company business plans are an important first step in the price review process.
“Ofwat’s role is to forensically scrutinise their proposals, to ensure any increase in bills is justified, efficient and delivers significant improvements in river and bathing water quality.
“We will assess how companies are helping customers to afford any bill increase.”
Ofwat has said it will put in place an incentive regime to reward companies that improve performance, while hitting companies with financial penalties if they fail to deliver.
Customers and stakeholders will be consulted on the plans over the coming months, the regulator said.
How to save money on your water bills
With household expenses so high you’ll want to save money wherever possible, including on your water bills.
Taking a shorter shower can massively reduce your water usage and save you money on your bills.
Water UK estimates taking a four minute shower could save a household of four £165 a year on their energy bills and £100 on their water bills.
You’ll want to make sure you are only using full appliances too – that means only running the dishwasher and washing machine when they’re full.
Plus, if you’re a household which doesn’t use much water, it might be worth having a meter installed.
One mum saved over £200 a year on her bills having one of the devices set up.
However, water meters charge you for the amount you use – so it might not be that cost-effective if you do go through a lot.
The Consumer Council for Water has a free water meter calculator that’ll tell you how much you could save.
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Meanwhile, plenty of water companies offer free water-saving devices that shave pounds off your bills.
Contact your supplier for more information or check out savewatersavemoney.co.uk.
Do you have a money problem that needs sorting? Get in touch by emailing [email protected].
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