The water regulator OFWAT has allowed an increase in Thames Water bills (from £303 average this year to £313 by 2014/15 excluding inflation). This is primarily to finance a big £1.7bn investment in sewerage to reduce sewage pollution in the Thames.
The regulator has significantly reduced the demand made by Thames Water from an average increase of £52 to only £10.
Vincent Cable said:
'The regulator has cut substantially the demands by Thames Water for higher bills. Customers however need to be aware that there is a much bigger increase for non-metered water supplies (from £316 average to £343).
'Metering is an increasingly attractive option - thought many people, in flats in older buildings notably, cannot take advantage of it.'