Water supplier Severn Trent has announced a 5.3 per cent price increase after revealing falling consumption would lead to a shortfall of up to £20 million this year.
The company said demand for water had continued to fall during the early months of its financial year, although trading had remained in line with expectations.
In a trading statement, the company accepted the slump would hit revenues, which stood at more than £1.6 billion for the 12 months to April. Sales prices in Severn Trent Water increased by 5.3 per cent including inflation from April 1 to July 21.
