Water bills to jump by £86 in 2025: what you need to know
Water bills are set to rise by an average £86 from April 2025, with further hikes over the next five years.
Here’s everything you need to know, including the reasons behind the increase and what you can do if you're struggling to pay.
How much will your bill rise?
Over the next five years, water bill increases are expected to average out to £31 per year. However, industry regulator Ofwat says companies will probably hike tariffs more steeply in the first year.
Bill hikes will vary depending on where you live. For example:
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Southern Water: Expect the largest rise – 53% over the next five years – bringing bills to an average £642 by 2030.
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Thames Water: Bills will go up by 35%, reaching an annual average of £588.
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Wessex Water and Northumbrian Water: Smaller increases of 21%.
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Scotland and Northern Ireland: Bills won’t go up, as water services are nationalised.
Why are water bills rising?
Bills are rising to pay for supply infrastructure upgrades and to reduce sewage spills into water, Ofwat has said.
Water UK, the trade association for the water industry, says increases to water bills provide ‘much-needed’ investment for the sector.
Reaction to the rise
Consumer Council for Water (CCW), which provides advice to water customers, warns that the rise, although lower than the companies’ proposals, will still be unaffordable for many.
Mike Keil, CCW chief executive, warns that at least two in five households in England and Wales will “struggle to afford” the changes and customers will be “hit particularly hard from April”.
Citizens Advice warns that people could be pushed further into debt, unless struggling households get more support.
Angela Newey, chief executive of Citizens Advice in north and west Kent, said the rise "may not look very much,” but it would "squeeze people's budgets and then it will have a knock on effect on their other bills.”
Rebecca Sinker, member of the Clean Water Action Group in Hastings, said the group was "angry" about costs going up, arguing that their water company, Southern, had not been "keeping up with the infrastructure maintenance”.
"We don't trust them to spend our money in the right way, and we can't go anywhere else for our water. It's a private company monopoly," she said.
What’s the government doing?
Because so many people are unhappy with water companies, the Environment, Food and Rural Affairs (EFRA) Committee has launched an inquiry to look into the issues facing the sector.
Water companies have also faced strong criticism for their performance while company bosses and shareholders continue to rake in large bonuses and dividends.
Key areas of focus of the report will include:
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financial stability of the water sector
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support for vulnerable customers
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water security and sewage overflows
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agricultural pollution and environmental impacts
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emergency responses to flooding, outages and drought
What can you do if you can’t pay your water bill?
If you’re concerned about the rise in water bills and are struggling to pay yours, you should contact your water supplier immediately.
Each water company offers different forms of financial support, including:
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hardship funds for those facing financial difficulties
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payment breaks or arrangements to spread out payments
Read here for all the schemes that help with water bills.
You can also check out our guide on what to do about water bill arrears.
Gabrielle Pickard Whitehead
Gabrielle is an experienced journalist, who has been writing about personal finance and the economy for over 17 years. She specialises in social and economic equality, welfare and government policy, with a strong focus on helping readers stay informed about the most important issues affecting financial security.
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