The regulator’s scrutiny of companies’ business plans will see the average household water and sewerage bill reduced by around 4% or £14 to £330 by 2015. This is before inflation is considered.
Regina Finn, Ofwat Chief Executive Officer said: "We understand times are hard and we have listened to what customers have told us. They want a safe, reliable water supply at a reasonable cost.
"People can shop around for the best deal on many things, but not water. That’s why we’ve challenged the companies’ plans rigorously to ensure that customers get the best value for money from the £21billion of investment.
"Our proposals allow the companies to build on the successes of the past, keep bills broadly stable and create a better environment.
"Our decisions allow efficient, well-run companies to invest in the right place at the right time for the right price."
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