Rachel Gilmour, the Liberal Democrat MP for Tiverton and Minehead, has voiced strong criticism against Ofwat’s provisional approval for £3.4 billion in additional spending by water companies, including Wessex Water. The MP warns that this decision is set to increase water bills for consumers across the region.
According to the Liberal Democrats, the approval will lead to Wessex Water raising the average customer bill by £4 in 2027-28 and by £7 in 2029-30. Wessex Water is one of five out of thirteen water companies allowed to recover costs through bills ahead of 2030 under this plan.
The announcement comes during a challenging time as Wessex Water has imposed a hosepipe ban for the first time in 50 years, highlighting serious concerns over water supply.
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Wessex Water has disputed claims that customers will face higher bills amid restrictions, stating it is inaccurate to suggest that bills will increase while users are experiencing water use limitations. The company also noted that Ofwat has asked water providers to explore charging heavier water users more and lighter users less in the future.
The provisional approval is currently subject to public consultation until 24 September, with a final determination expected in December.
The Liberal Democrats highlighted that in 2024-25, Wessex Water reportedly lost 25,221.5 million litres of water due to leaks each day-comparable to around 27 Olympic-sized swimming pools.
Rachel Gilmour said: “Once again, billpayers are set to be rinsed for using an essential resource thanks to a useless regulator. Ofwat is merely a rubber stamp for failure.
“Hardworking families are being forced to cough up another £3.4 billion to fix a broken water network that greedy executives have neglected for decades.
“During times of hosepipe bans and high leakage numbers, why should my constituents be subjected to higher water bills when the quality of their service has decreased?
“How many times do we have to call for the toothless Ofwat to be scrapped before the Government actually do it? They made the commitment, but they can’t seem to follow through.”
In response, Wessex Water emphasised that the draft determination regarding cost changes is provisional and subject to confirmation. The company reiterated efforts to reduce leakage, noting a 60% reduction in leaks in the region over the past 30 years, with repair teams prioritising the largest leaks. Leak detection and repair rates have increased by more than a third in the last month alone.
The hosepipe ban, effective since Tuesday, was introduced due to extremely high demand and long-term weather forecasts, with the aim of protecting water resources for customers and the environment.
Wessex Water has committed to investing nearly £4 billion in the current regulatory period from 2025 to 2030. A company spokesperson added:
“Record investment between now and 2030 will fund critical water and sewerage treatment improvements, reduce storm overflow discharges, and remove nutrients from treated wastewater to support housing development in key areas such as the Somerset Levels.
“While bills remain lower in real terms than they were 15 years ago, we understand that any increase is unwelcome.
“We offer significant support to customers struggling to pay, including flexible payment plans, payment breaks, and debt support.
“We were the first water company to introduce a social tariff, providing discounts of up to 90% for those least able to pay, and we believe no one should spend more than 5% of their disposable household income on water bills.
“If you are struggling, please contact us to explore the help available.”
This ongoing debate highlights the challenges facing water providers and consumers in Somerset amid environmental pressures and infrastructure investment needs.