Water Bills to Increase by £33 Annually from April 2026
Households across England and Wales are set to face higher water bills from April 2026, with an average annual increase of £33 confirmed. This represents a rise of approximately 5.4%, or £2.70 per month, which exceeds the current inflation rate of 3.4%. The announcement follows regulatory approvals and has sparked concern among consumers already grappling with elevated living costs.
Regulatory Background and Investment Justification
Water companies had previously received permission from the regulator Ofwat to implement a 36% increase in average bills over a five-year period, extending to 2030. According to Water UK, the industry body, these hikes are essential to fund a substantial £104 billion investment programme. This initiative aims to upgrade critical infrastructure and address persistent issues such as sewage spills into rivers and seas.
David Henderson, Chief Executive of Water UK, emphasised the necessity of the increases, stating: “We understand increasing bills is never welcome, but the money is needed to fund vital upgrades to secure our water supplies, support economic growth and end sewage entering our rivers and seas.” He also highlighted that around 2.5 million households will benefit from social tariffs in 2026/27, offering average discounts of about 40% on water and sewerage charges.
Consumer Concerns and Regulatory Oversight
Despite the promised investments, consumer advocates have expressed significant worries. Mike Keil, Chief Executive of the Consumer Council for Water (CCW), reported: “We’ve seen complaints brought to CCW about the affordability of water bills almost triple in the past year and further bill rises will compound people’s worries.” He called for stronger evidence that customer money is being effectively spent and for enhanced support for those struggling to pay.
Chris Walters, Ofwat’s interim Chief Executive, assured that the regulator will monitor company performance closely. “Money received by companies from customers is ringfenced for improvements, so if they do not deliver on their commitments, they will be made to return money to customers in their future bills,” he explained. Ofwat has also approved a doubling of support for customers facing financial difficulties, with over 2 million households now accessing assistance.
Company-Specific Bill Increases for 2026/27
The average bill rises vary significantly by company, reflecting regional differences and investment needs. Below is a breakdown of the expected annual charges and percentage increases for key water and sewage firms:
- Anglian Water - £674 (up £44 or 7%)
- Dwr Cymru (Welsh Water) - £683 (up £31 or 5%)
- Hafren Dyfrdwy - £635 (up £54 or 9%)
- Northumbrian Water - £535 (up £31 or 6%)
- Severn Trent Water - £587 (up £52 or 10%)
- South West Water - £740 (up £39 or 6%)
- Southern Water - £759 (up £55 or 8%)
- Thames Water - £658 (up £3 or 0.4%)
- United Utilities - £660 (up £57 or 9%)
- Wessex Water - £695 (up £17 or 3%)
- Yorkshire Water - £636 (up £34 or 6%)
Water-only companies will also see adjustments, with examples including Affinity Water (Central region) at £266 (up £31 or 13%) and Bristol Water at £264 (up £29 or 12%).
Practical Tips to Reduce Your Water Bill
While switching water companies is not an option in most regions, there are effective strategies to lower your water costs. Implementing small changes in daily water usage can lead to significant savings over time.
- Reduce Shower Time: Cutting your shower by just one minute can save water and reduce your bill.
- Turn Off Taps: Ensure taps are fully closed when not in use to prevent wastage.
- Utilise Free Water-Saving Devices: Explore offerings from Save Water Save Money, which may include regulated shower heads or tap inserts, depending on your location.
- Consider a Water Meter: As suggested by financial expert Martin Lewis, installing a water meter could be cost-effective if your household has more or the same number of bedrooms as people.
These measures, combined with awareness of available social tariffs, can help mitigate the impact of the upcoming bill increases. For further advice on managing household expenses, stay informed about consumer rights and support programmes.