CMA appeals: CCW says further bill rises will hurt struggling households

The Consumer Council for Water (CCW) says allowing five water companies to increase their customers’ bills even further will heap more pressure on households already struggling to absorb recent price hikes.

CCW has responded to the final determinations of the Competition and Markets Authority which has ruled on the appeals made by five water companies – Anglian Water, Northumbrian Water, Wessex Water, South East Water and Southern Water – to increase bills above the five-year price limits set by Ofwat in December 2024.

The CMA has decided that these companies can increase bills by an additional 2.2%, on average, compared to the rises Ofwat had set in its 2025-2030 price limits. All five water companies were seeking even larger bill rises.

Reacting to the announcement, Mike Keil, CCW’s Chief Executive, said:

The additional bill increases granted by the CMA may be less than what these five water companies wanted but they are still more than what many customers can afford or will consider fair. We’ve seen almost a tripling in complaints brought to us about the affordability of water bills in the past year and further increases will add to the worries of some struggling households.

This long-winded appeal process needs reforming so customers are given the same right as water companies to challenge price increases. This would help address the power imbalance that currently exists between water companies and their customers.