Southern Water Appeals Ofwat Ruling to Raise Bills by 83 Per Cent

February 27, 2025
Southern Water Appeals Ofwat Ruling to Raise Bills by 83 Per Cent

Southern Water has launched an appeal to the Competition and Markets Authority (CMA) to increase customer bills by 83 per cent, exceeding the 53 per cent hike approved by water regulator Ofwat. The company argues that the regulator’s ruling does not allow for necessary infrastructure and environmental improvements.

Ofwat set water bill increases across England and Wales for the 2025-2030 period, permitting an average rise of 36 per cent from April 1, before inflation. Southern Water, which serves 4.7 million customers, was granted the largest increase at 53 per cent. However, the company insists this is insufficient to meet public expectations for service improvements and new infrastructure projects.

Southern Water is among six water companies, including Anglian Water and Thames Water, challenging Ofwat’s decision. They claim the approved increases will not provide adequate funding for essential projects such as reservoirs, treatment facilities, and pipe maintenance. The CMA’s review process, which is expected to take up to a year, will determine whether further bill hikes are justified.