Severn Trent profits triple despite penalty over drinking water quality

Severn Trent has nearly tripled its profits even as the FTSE 100 water company says it has failed to meet a drinking water risk standard.

- Jasper Jolly

The company, which serves 4.7 million customers stretching from Bristol and mid-Wales to the Humber, said yesterday it would be "in penalty this year" over a measure of water quality known as the compliance risk index (CRI).

Water companies have come under close scrutiny over pollution and water quality in recent years, as politicians have accused the sector of not investing enough in vital infrastructure while shareholders have made impressive returns.