Our charges
Each year our charges are subject to change. On average our charges will go up by 12.3% on 1 April 2024. This includes inflation, which is affected by energy prices, and adjustments for our past performance.
We follow guidance from our regulator Ofwat and consult CCW, the voice for water consumers, on our charges. In common with other water companies, we use CPIH: the Consumer Prices Index including housing costs, when calculating inflation.
How our charges are changing for 2024/25
| Water and wastewater customers | Water only service | Wastewater only service |
| 12.3% average price rise | 9.3% average price rise | 16.2% average price rise |
Bill increase
The overall bill increase for 2024/25 is partly due to inflation, which is affected by energy prices.
Part of the bill increase also depends on our past performance. In 2022/23, we did not meet some of our water supply targets. This includes those relating to supply interruptions and leakage. However, our wastewater performance was better than the previous year.
Our regulator Ofwat has applied penalties due to our 2022/23 performance. This has meant the bill increase is lower than it would have otherwise been. The level of penalties has increased for water but decreased for wastewater. This has caused water price increases to be lower than wastewater price increases.
Minimising the price increase
We’ve worked hard to limit the increase in prices where we can, including generating our own power as part of the sewage treatment process. We create more than 20% of the power we need at our own sites, which helps to reduce bills because we have to buy less electricity from the grid.
Showing the increase on your bill
We aim to make our bills as simple to understand as possible for all our customers. We’ve therefore not included every breakdown cost on your bill so you can focus on the important information.
Breakdown of every £1 we spend
48p – infrastructure
20p – essential services
15p – our team
3p – our lenders
8p – powering our sites
6p – the government
How we're making a difference
Every time you pay your bill, the money helps us to:
- deliver life’s essential service
- reinvest around £1bn into our network each year
- help local communities
As the UK’s biggest water company, it’s our duty to protect our major water source, the River Thames, along with the environment and our customers.
Our large-scale projects, such as the Thames Tideway Tunnel and the Guildford Sewage Treatment Works relocation, are transforming our water and sewer networks to protect the environment and better serve our customers.
