United Utilities to Hike Water Bills by 32% Over Five Years
Millions of households across the north-west of England will face a 32% increase in their water bills over the next five years, United Utilities (UU) has announced.
The water company, which serves Greater Manchester, Merseyside, Lancashire, Cumbria, much of Cheshire, and parts of Derbyshire, revealed that the rise had been negotiated with the regulator Ofwat as part of the recent price review.
Starting in April, household bills will increase by an average of £86. Over the next five years, the annual rise will average £31 per year.
UU’s chief executive, Louise Beardmore, explained that the extra revenue would help fund essential water infrastructure projects aimed at reducing pollution incidents. She also emphasized that the overall increase would raise £13bn to support the largest water and wastewater infrastructure investment in over 100 years.
However, the increase has drawn concern from the Consumer Council for Water (CCW), which expressed particular worry about the impact on households already struggling financially. The CCW’s John Vinson noted that many households were already worried about rising costs, with two in five concerned about their ability to pay.
“There’s a real concern for those who are making difficult choices between heating and eating,” Vinson said. He also criticized the current support mechanisms, calling them a “postcode lottery” and urging for more consistent and effective assistance.
United Utilities has pledged £525m in financial support over the next five years for one in six households in the region, but questions remain about the adequacy of this help given the growing cost-of-living pressures.
The price increases do not include inflation, meaning bills could rise even further in the coming years. While the company has argued that these increases are necessary to improve water services and protect the environment, the public's trust in UU and other water companies is reportedly at an all-time low.