Bumper Southern Water bills as huge investment plan to improve infrastructure continues

The average bill for customers receiving both wastewater and water services will increase by eight per cent this April, though customers receiving wastewater-only services - including those in the Portsmouth area - will see a decrease of four per cent on this portion of their bill.

Meanwhile the average bill from Portsmouth Water for its water supply will increase from £150 to £161 per year.

It comes after last year’s huge 46.7 per cent average household bill rise for Southern Water customers as par of its £8.5billion five-year investment plan to make the improvements customers have told Southern Water they want to see.

Households receiving water-only services from Southern Water will be hardest hit with an average bill rise of 25.8 per cent, while non household customers will see an increase in wholesale water charges of 28.1 per cent, though this will be offset by a 6.3 per cent reduction in wholesale wastewater charges.

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Investment plans include:

• A drastic cut in storm overflows into our rivers and seas
• A clear plan to tackle the societal challenges of climate change, water scarcity and population growth
• An end to serious pollution and flooding incidents
• A truly resilient and future-proofed water supply across our region
• A trusted and easy customer service

The rise is also helping Southern Water support more families who may need extra financial support to pay their bill – reaching almost 200,000 customers - with a minimum discount of 45 per cent on their bill.

Chief Customer Officer Antonia Barton said: "We understand that times are challenging for many customers, and we’re doing all we can to support those who need it, while delivering the improvements our customers have told us matter most.

"Over the next five years, we’re investing £8.5 billion to upgrade ageing infrastructure, protect rivers and seas, and make water supplies resilient for generations to come. This is the biggest ever investment in our water infrastructure, and it’s essential to keep services reliable and sustainable long term. Every penny of the bill increase will be reinvested into improving our services. Nothing will go to shareholders.

"As part of this plan, we’ve worked hard to spread rises more evenly over the coming years to reduce the impact on households. We’re also expanding help for those who need it most, with around 10 per cent of our customer base able to benefit from a discount, flexible payment plans, and a hardship fund for those facing exceptional challenges. If you’re worried about paying your bill, support is available – and we’re here to help."

Following last year’s larger 46.7 per cent average household bill rise, which came after a decade of static charges to front-load investment plans, this year’s eight per cent rise represents Southern Water’s strategy to spread the remaining increases over the next four years so they are as manageable as possible for customers.

It comes as both Southern Water and Portsmouth Water were announced as two of 11 water companies in England who have been repeatedly warned about risks to their water supplies by Ofwat, the Environment Agency and the Environment Department (Defra).

The authorities raised concern over the companies’ performance in areas ranging from leakages and chemical pollution to unsustainable abstraction from the environment and demand management.

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However Portsmouth Water and Southern Water are working together over the project to create the new water reservoir at Havant Thicket (see the video embedded in this story) which they say will ensure an excellent water supply as well as mean that drinking water will not need to be taken from Hampshire’s chalk streams.

Bob Taylor, Chief Executive Officer, Portsmouth Water, said: “We welcome Ofwat’s focus on making sure water companies can maintain supplies and are fully committed to providing our customers with a reliable, sustainable water supply for the future. Every five years, we produce a Water Resources Management Plan (WRMP) which sets out how we will achieve this.

"Historically, we’ve had plentiful supplies of high-quality water within our supply area, but this is changing. While population growth and climate change play a part, the big driver here is the need to leave more water in the environment.

“We’ve launched our largest ever investment programme, committing £377 million to ensure we meet this challenge head on. Under this plan, we will halve leakage by 2040 and are investing £63 million in water efficiency initiatives including smart water meters, which can reduce water use by up to 12 per cent.

“We're absolutely committed to making sure our customers have a sustainable, reliable supply of high-quality water both now and in the future, whilst also balancing the needs of nature, particularly the precious chalk streams in our supply area.”

Havant Thicket Reservoir is expected to be completed and operational by 2029, with full opening to the public potentially in 2031.

For more information about Southern Water customer bills, visit www.southernwater.co.uk/help-and-support/why-is-my-bill-going-up. For more information about the water reservoir at Havant Thicket visit Portsmouth Water’s dedicated website.