Severn Trent, the water company which supplies homes and businesses across much of the Midlands of England, has this morning announced a rise in profits.
The Coventry-based water supply and sewage treatment business made £275million before interest and tax in the first half of its financial year, three per cent more than in the previous period.
Shareholders in the company, which was privatised in 1989, will be happy with the news, especially as at the same time as making its profit announcement, the company said it would increase its annual dividend to them by five per cent.
Severn Trent and other water companies in the UK are currently waiting for an announcement from Ofwat, the industry regulator, which will lay down a formula telling them by how much they can raise their charges to customers between 2015 and 2020.
The company, which employs more than 15,000 people, mostly in the UK, is one of ten such companies which were formed in 1974 to supply fresh water and treat sewage across England and Wales.