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Yorkshire households could see £27 cut to water bills

Thursday, 15 October 2026 08:02

Regulator Ofwat has proposed that Yorkwater Water returns around £75 million to customers.

Yorkshire Water customers could see an average £27 reduction applied to their bills after the company missed performance targets.

Regulator Ofwat has proposed that the supplier return around £75 million to customers following its assessment of environmental and customer service performance during 2025/26.

Yorkshire Water faces the largest deduction under the provisional plans, with the money due to be returned through bills from April 2027.

However, the adjustment does not guarantee that households will pay less overall than they currently do.

Other changes to water charges could offset the reduction, and the amount will vary between customers.

Ofwat is expected to make its final decision by 15th December, with the adjustments taking effect from 1st April 2027.

The regulator links the amount companies can charge to their performance against agreed targets, including leakage and customer service.

Companies that fall short face deductions, while those exceeding targets can receive financial rewards.

A Yorkshire Water spokesperson said:

“We recognise that our performance last year fell short of the standards we and our customers expect in some areas”.

The company’s published performance report sets out an £8.3 billion investment programme between April 2025 and March 2030.

It says £990 million was invested during the first year, with projects aimed at improving services and reducing its environmental impact.

Across the water sector, Ofwat’s draft proposals would result in a net £240 million being returned through customer bills by 2029/30, including £107 million in 2027/28.

The figures remain subject to consultation. Ofwat’s full assessment of water companies’ operational performance is due to be published later this month.

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