This represents a sharp increase in prices relative to the last few years. In an effort to support those on a lower income, more than 3 million households will receive financial support or reduced water bills worth up to £4.1 billion over the next five years. Water UK estimates that this is 140% higher in real terms than similar support offered in the last five years.
Customers who are struggling may be eligible for reduced bills or debt forgiveness. David Black, Ofwat Chief Executive, added: “We recognise the challenge that some customers are facing with increasing financial pressures and understand that the water sector is not the only area where customers are faced with rising costs.
"We have pushed companies to double the amount of support over the next five-year period and strongly encourage customers who are struggling to pay their water bills to contact their water company to access this."
Why are my water bills going up?
The news comes after Ofwat announced a £104bn package over the next five years which is designed to secure long-term drinking water supplies and deliver cleaner rivers and seas. Water companies are expected to invest around £20bn from April 2025 to March 2026 which is the highest total expenditure in a single year.
The investment is expected to fund the building of nine new reservoirs and nine new water transfer schemes as well as upgrading the capacity of 1,700 wastewater treatment works to reduce pollution.
Back in December 2024, Ofwat projected that the average water bill would go up by 36% over the next five years amounting to around £157 before inflation by 2030. The biggest increase, however, was expected to take place this year with figures suggesting the average water bill would go up by around 20% before inflation. Ofwat's figures were before inflation meaning the actual numbers could end up higher.
Average water bill changes for 2025/2026
Not all water companies will put up their bills by the same amount. The overall price cap for the next five years is determined by the regulator. As such, while some suppliers are due to put up their prices by more than 40% in 2025/2026, others are due to increase them by less than 10% or even decrease them slightly in some cases.
If you're interested in how much your specific supplier is likely to charge the average household in 2025/2026, see the tables below.
Water and wastewater companies - Bill changes for 2025/2026
| Company name | Average annual bill in 2024/2025 | Average annual bill in 2025/2026 | Change in £ | Percentage change |
| Anglian Water | £527 | £626 | £99 | 19% |
| Dŵr Cymru | £503 | £639 | £136 | 27% |
| Hafren Dyfrdwy | £447 | £590 | £143 | 32% |
| Northumbrian Water | £426 | £506 | £79 | 19% |
| Severn Trent Water | £457 | £556 | £99 | 22% |
| South West Water | £520 | £686 | £166 | 32% |
| Southern Water | £478 | £703 | £224 | 47% |
| Thames Water | £488 | £639 | £151 | 31% |
| United Utilities | £486 | £598 | £112 | 23% |
| Wessex Water | £556 | £669 | £113 | 20% |
| Yorkshire Water | £467 | £602 | £136 | 29% |
Source: water.org.uk
Water-only companies - Bill changes for 2025/ 2026
| Company name | Average annual bill in 2024/2025 | Average annual bill in 2025/2026 | Change in £ | Percentage change |
| Affinity Water - central region | £192 | £235 | £43 | 23% |
| Affinity Water - east region | £225 | £278 | £53 | 24% |
| Affinity Water - south-east region | £249 | £291 | £43 | 17% |
| Bournemouth Water | £144 | £191 | £47 | 32% |
| Bristol Water | £226 | £234 | £9 | 4% |
| Essex and Suffolk Water | £286 | £318 | £32 | 11% |
| Portsmouth Water | £120 | £150 | £30 | 25% |
| South East Water | £245 | £294 | £49 | 20% |
| South Staffs Water - Cambridge region | £163 | £203 | £40 | 24% |
| South Staffs Water - South Staffs region | £178 | £224 | £46 | 26% |
| Sutton and East Surrey (SES) Water | £254 | £249 | -£5 | -2% |
Source: water.org.uk
What to do if you're struggling with your household bills
Water UK suggests that if you're struggling to pay your water bills, you should contact your water company directly as they may be able to offer support measures such as payment breaks and debt forgiveness. In addition, there will be support available for low-income customers through the WaterSure scheme or through social tariffs which entitle you to a cheaper rate from your water company.
There is also additional support available if you're struggling to pay your household bills. If you're struggling with water bills in particular, have a look at our article on how to save money on your water bills and what to do if you're struggling to pay them. It provides several tips that can lower your overall bill.
If you're struggling with general household bills, take a look at our article where we discuss how to save money on a variety of household bills including gas and electric, council tax, and even mobile, TV & broadband.
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