Thames Water 8% Price Hike Rejected

As four of the six biggest electricity companies have raised their prices within the last month, waste and water services provider Thames Water has been told by industry regulator Ofwat that their proposed price hike of 8% has been blocked.

The proposed rise was almost three times the rate of inflation, adding an extra £29 to the average bill.

Water companies need the permission of Ofwat to raise prices beyond the limits set by the regulator for five year periods (the limit is currently 4.6%, which works out around £16 increase). Thames Water claimed that their proposed rise in prices was needed to help cover the cost of bad debts.

However, Ofwat’s chief regulation officer Sonia Brown said:

“We said we would challenge Thames’ application, in the interests of customers. We did just that and on the evidence provided we are not convinced that an extra bill increase is justified.”shutterstock_79184887

Ofwat’s chairman Jonson Cox recently wrote to water companies asking them to consider whether they need to increase their bills by the full amount allowed within their limits, “given the hard time their customers are facing”.

Could you get a better deal on your utilities?

At Harrington Brooks, we understand that when you are working to a budget, a rise in your bills can be tough to cope with.

That’s why, with our partners Uswitch, we offer our customers a free checking service to ensure you are not paying over the odds for your gas or electricity. If you are, we will organise the switch to whoever is cheapest at no cost.

On average, our customers save over £100. Give us a call today on 0800 048 1764 and see how much you could save!
Visit our Utility switching pagefor more information.