The Competition and Markets Authority (CMA) has today (July 10) published its initial findings on Bristol Water’s appeal against its price limits for 2015 to 2020, which were set by the regulator Ofwat in December 2014.
The CMA has provisionally found that Bristol Water should reduce its average water bill by 17 per cent, before inflation is added, by 2020. This is slightly less than the 19 per cent cut set by Ofwat.
A final decision will be made by the CMA in September.
Responding to today’s announcement, Tony Smith, Chief Executive of the Consumer Council for Water said: “These initial findings look like good news for Bristol Water customers who would welcome a 17 per cent reduction in their water bills before inflation by 2020.
“Bristol Water would also still be expected to deliver the quality of services that customers made clear they wanted in consumer research. Ofwat’s original decision marked a good deal for customers and we are pleased the CMA has largely supported it.”
“However we do have concerns over the cost of financing which we think could be lower and we will be making this point to the CMA before its final decision in September.”