Customer complaints regarding water bills in England and Wales have surged dramatically, increasing by more than 50% in a single year according to new data from the independent consumer watchdog. The Consumer Council for Water (CCW) reported that over 16,000 formal complaints were lodged in 2025, a significant rise from the 10,600 recorded in the previous year.
Unprecedented Surge in Consumer Dissatisfaction
The flow of objections remained consistently high throughout 2025, with every month from March onwards exceeding complaint levels from the corresponding periods in 2024. This sustained increase reflects growing public frustration with water providers across both nations.
Mike Keil, Chief Executive of the CCW, highlighted the dual concerns driving this trend: "The sustained rise in complaints to CCW reflects not only people's worries about being able to afford increases in their water bill, but also confusion and concern around what they are getting in return for their money. Customers need to see evidence their money is improving services in the here and now, as well as dealing with the longer-term challenges."
Southern Water Leads Complaint Rankings
Analysis of utilities serving more than one million customers revealed Southern Water received the highest number of complaints per customer, followed by Severn Trent and Thames Water. The CCW handles issues that have not been resolved directly by the water companies themselves, indicating systemic problems across the industry.
Bill Increases Spark Widespread Anger
The dramatic increase in complaints coincides with water companies being permitted to raise bills substantially to fund infrastructure upgrades after decades of underinvestment. Ofwat, the industry regulator for England and Wales, authorised water companies to increase bills by 36% between 2025 and 2030, with most of that increase implemented in April 2025.
Water companies are preparing for further backlash this week as the next round of bill increases - including adjustments for inflation - are announced as part of the five-year pricing plan. This comes against a backdrop of ongoing public anger about sewage discharges into Britain's rivers and coastal waters.
Affordability Emerges as Primary Concern
According to CCW data, the overwhelming majority of complaints during 2025 centred on bill affordability. The watchdog has called for evidence-based reform, advocating for the introduction of a standardised "social tariff" across England and Wales to provide targeted support for struggling households.
"The postcode lottery created by existing water company social tariff schemes needs to be replaced by fairer and better targeted support," Keil emphasised, highlighting the inconsistent support currently available to customers in different regions.
Industry Response and Political Scrutiny
A spokesperson for Water UK, the industry body representing water companies, acknowledged the challenges: "We understand that bill increases are never welcome and recognise they are difficult for many households. That's why water companies are more than doubling the help available, with £4.1bn in financial support available over the next five years for those customers that need it."
Public discontent has been further exacerbated by perceptions that water companies have distributed billions in dividends to shareholders while awarding substantial executive pay packages, despite bonus bans at some firms. MPs on the Public Accounts Committee recently questioned executives from Ofwat and the Department for Environment, Food and Rural Affairs about water company remuneration practices.
Regulatory Oversight Under Fire
Labour MP Anna Dixon called for regulators to "crack down" on what she described as "water companies eviding the bonus ban," while fellow Labour MP Lloyd Hatton criticised regulatory bodies for inadequate monitoring of corporate structures used to enhance executive compensation.
Hatton challenged Ofwat representatives directly: "Why is it we wait for a report in the Guardian newspaper to understand exactly how water companies are operating and how they use those complex corporate structures to put extra pay behind their bosses?"
Unique Position of England's Water System
England remains the only country globally with a fully privatised water system, creating distinct regulatory challenges. In contrast, the Scottish Government controls water supply through Scottish Water, while Northern Ireland's water services operate under government authority. Most of Wales receives water from Dŵr Cymru, a not-for-profit company.
This structural difference adds complexity to the affordability crisis, as customers in England face bills from profit-making companies while those in other UK nations benefit from different ownership models.
