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Burnham Criticizes Water Bill Hikes

Financial Times Companies •
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Andy Burnham condemned water companies for treating customers as a *blank cheque* after Ofwat allowed five suppliers to raise bills for millions. The prime minister expressed anger over the regulator’s decision to permit increases funding infrastructure like a *£3.4bn* reservoir and recycling plant. Companies such as *Southern Water*, *Thames Water*, *Severn Trent*, *Wessex Water*, and *South East Water* will pass on costs by 2030, adding annual charges ranging from *£1* to *£80*.

Burnham criticized pollution levels and leaking pipes, stating customers cannot be exploited. Ofwat’s ‘cost change process’ allows bill hikes if companies prove infrastructure delivery. Thames Water faces scrutiny over a *£20bn* debt and a *£1mn* signing-on fee for its finance chief.

The government, under Keir Starmer, previously pushed for private solutions but Burnham vowed to prioritize lower bills. Leaks waste one-fifth of treated water, exceeding savings from hosepipe bans. Pollution affects only 1 in 7 UK water bodies.

The *£80* annual increase for Southern Water and *£301mn* for Thames Water’s projects highlight tensions between infrastructure needs and affordability.