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Households to get up to £2k compensation for water service failures

Derby Telegraph

|

July 02, 2025

WATER firms will be forced to pay households in England up to £2,000 for service failures as part of efforts to reform the sector, the Government has announced.

Compensation payments will increase up to tenfold from July 2 for problems such as low pressure, disruptions to supply or sewer flooding.

The Department for Environment, Food and Rural Affairs (Defra) said the move marked the first increase in compensation rates in 25 years in recognition of the “urgent need” to bring payments in line with inflation and properly compensate households for poor service.

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