Watchdog caps rise in water bills to 20 per cent (From Warrington Guardian)

Watchdog caps rise in water bills to 20 per cent

HOUSEHOLD water bills in Warrington should not increase by more than 20 per cent over the next five years.

The figure is the maximum the water industry watchdog, Ofwat, believes is enough for United Utilities to carry out improvements and maintain the service.

Philip Fletcher, director general of water services, said: "These decisions strike the right balance.

"They will enable water companies to meet the needs of customers and the environment while continuing to deliver a safe and reliable service.

"The price limits are as high as they need to be and no higher."

But United Utilities' customer sales managing director, Bob Armstrong, has warned the funding may not be enough.

He told the Warrington Guardian: "We do, however, remain concerned about the level of funding proposed for specific issues like odour and sewer flooding, which we know are particularly important to our customers in the region."

Warrington householders currently pay around £269 for their water and sewage rates.

And by 2010, Ofwat says the average bill should not be more than £322 a year.

Mr Armstrong added: "We will now spend the next few days looking at the detail and what it means for the level of investment which is to be carried out in the north west up to 2010.

"What I can say today is that our focus remains on delivering value for money for our customers, improving our services to them and continuing to play our part in improving the environment across the north west."