Severn Trent Announces 7% Increase in Water and Sewerage Bills for 2024/25

In April 2024, Severn Trent, one of the leading water companies in England, confirmed an impending increase in bills for combined water and sewerage services. The average bill for customers is set to rise to approximately £430 per year, reflecting a 7% increase or an equivalent of £28 annually.

Despite the rise, a spokesperson for Severn Trent highlighted that their customers still enjoy the second-lowest bills in England, with all clean and wastewater services provided for an average of £1.18 per day. The company emphasized their commitment to keeping the increase as minimal as possible while ensuring continued investment in securing a sustainable water supply for future generations.

Acknowledging the financial strain faced by many households, Severn Trent reiterated their support for customers who may struggle to pay their bills. The spokesperson mentioned that over 250,000 households are already benefiting from the company’s Big Difference Scheme, with additional financial support schemes available for those in need.

It’s important to note that water companies like Severn Trent set their charges based on regulations established by the water regulator, Ofwat. These regulations permit companies to adjust charges in accordance with CPIH inflation rates.

Despite the increase, Severn Trent reassured customers that their average bill for combined water and sewage services remains below the industry average of £473. Looking ahead to 2024/25, Severn Trent has committed to an ambitious investment program worth over £2.5 billion. This program encompasses network improvements and projects spanning the entire Midlands region, ensuring the reliability and sustainability of water services.

Moreover, Severn Trent aims to support 315,000 people annually with paying their water bills, with up to 50,000 of these customers receiving additional financial debt support. The company has also demonstrated its commitment to regional growth by creating 1,000 new jobs in the Midlands, including over 110 skilled apprenticeships in 2024.

In summary, while the increase in water and sewerage bills may pose a financial challenge for some customers, Severn Trent’s commitment to affordability, investment, and customer support remains steadfast. By balancing the need for investment with considerations for customers’ financial well-being, Severn Trent aims to ensure the sustainability and reliability of water services for years to come.