Water bills to fall by 5% by 2020, Ofwat says
Posted: 12 Dec 2014, 13:36Household water bills in England and Wales will fall by an average of 5% - not including inflation - by 2020, the regulator Ofwat has ruled.
12 December 2014 Last updated at 10:38
This would see average bills fall in real terms by about £20 from £396 to £376.
However, consumers will still pay more, as the companies are allowed to add on inflation, as measured by RPI.
RPI is typically higher than CPI inflation, and is currently running at 2.3% a year.
Nevertheless the Consumer Council for Water (CCW) said it was good news for consumers.
"Most water companies and the regulator have listened to customers and delivered a deal which reflects the services they want, at a price most find acceptable," said Tom Smith, the chief executive of the CCW.
http://www.bbc.co.uk/news/business-30444592
12 December 2014 Last updated at 10:38
This would see average bills fall in real terms by about £20 from £396 to £376.
However, consumers will still pay more, as the companies are allowed to add on inflation, as measured by RPI.
RPI is typically higher than CPI inflation, and is currently running at 2.3% a year.
Nevertheless the Consumer Council for Water (CCW) said it was good news for consumers.
"Most water companies and the regulator have listened to customers and delivered a deal which reflects the services they want, at a price most find acceptable," said Tom Smith, the chief executive of the CCW.
http://www.bbc.co.uk/news/business-30444592