The regulator of the UK’s privatised water supply industry has this morning said it wants most suppliers to cut their bills by an average of five per cent by the end of 2020.
Ofwat is in the process of reviewing the pricing plans submitted by the 18 supply firms which come under its control, and has said that 14 of these should reduce their bills.
Privately-owned Sembcorp, which supplies the Bournemouth area in Dorset, southern England, has been handed the toughest settlement, having been ordered to cut its tariffs by 13.9 per cent over five years, reports the Financial Times.
And about six million domestic and business customers of Anglian Water, one of the bigger suppliers which covers the Midlands and east of England, are likely to see their bills drop by the next biggest amount, 10.9 per cent.
United Utilities, which serves a large area of the north-west of England, was given a slap on the wrists by Ofwat earlier this month, after it initially proposed considerably higher price rises than the regulator judged were appropriate, and has been ordered to re-submit its plans.
All companies must submit their responses to Ofwat’s proposals by 3 October, with the regulator due to announce its final decisions by 12 December.