Water bills in England and Wales to rise by £123 on average this year

Largest price hike since privatisation is even more than the 86 predicted by Ofwat as companies add inflation on top

Water bills will rise by an average of 123 this year in the biggest hit to customer pockets since the industry was privatised 36 years ago, as the public pays to replace ageing infrastructure and cut record sewage pollution.

The price hike for millions of customers in England and Wales from 1 April will take the annual average bill from 480 to 603, and is higher than the 86 rise predicted by the regulator Ofwat in December, because water companies are adding inflation on top.