United Utilities to increase water bills by 32% over five years

Over the next five years, the average annual rise in bills will be £31.

Ofwat explained, however, that water companies were expected to hike tariffs more in the first 12 months of the five-year period.

Additionally, the scheduled increases do not include inflation, which means actual bills will likely rise even more.

UU also announced it would raise dividend payouts to shareholders in line with inflation.

Chief executive Louise Beardmore said the increased bills would raise £13bn to invest in water infrastructure projects across the north-west of England.

She said this would be the “largest investment in water and wastewater infrastructure in over 100 years”.

Ms Beardmore also pledged to provide £525m in financial support to approximately one-in-six households across the region during the next five years.