
South East Water is under investigation by regulator Ofwat after repeated outages since November left tens of thousands of households and businesses across Kent and Sussex without drinking water. Some properties have endured up to six days without supply, with around 8,500 addresses still affected. The watchdog is examining whether the company breached licence conditions by failing to meet customer service standards or provide adequate support. This follows earlier prolonged outages in Tunbridge Wells, where 24,000 properties lacked drinkable water for nearly two weeks. Ofwat is also reviewing the firm’s supply resilience, while the government has asked for a wider licence review. A major incident has been declared, schools have closed, and ministers are holding daily emergency meetings. South East Water has blamed storm-related power cuts and burst pipes, but frustration remains high as recovery plans continue amid slow refilling of storage tanks.
Ofwat, the water regulator, has announced a draft decision on how much water companies in England can raise consumer bills over the next five years. The regulator has imposed stricter oversight on Thames Water, due to its financial crisis and £18bn debt: Thames may need to limit debt, split the company, or seek equity through public listing. Thames had requested a 40% bill hike to stabilise finances, but Ofwat allowed only 21% over five years. Ofwat’s decisions came just hours before the bosses of sixteen water companies met the new environment secretary, Steve Reed, amid rising public anger and political scrutiny over the state of the UK’s water industry, which has also caused outcry over sewage pollution. Reed's proposed measures include ring-fencing water infrastructure funding exclusively for upgrades and changing company rules to prioritise customers' interests.