Millions of households could be one step closer to claiming compensation after the UK Supreme Court agreed to hear an appeal in the proposed water overcharging claims against six major water companies.
The proposed claims allege that Anglian Water, Northumbrian Water, Severn Trent, Thames Water, United Utilities and Yorkshire Water underreported sewage spills and pollution incidents. It is claimed that this allowed the companies to secure higher price increases than they would otherwise have been permitted. Meaning customers paid more for sewerage services than they should have.
The combined value of the proposed claims is estimated to be between £800 million and £1.5 billion.
What has happened?
The Competition Appeal Tribunal initially refused to allow the claims to proceed. And earlier this year, the Court of Appeal upheld that decision.
However, the UK Supreme Court has now granted permission for Professor Carolyn Roberts, who is bringing the proposed claims on behalf of affected customers, to appeal. This means the UK’s highest court will now consider whether the proposed claims should be allowed to proceed.
Professor Roberts said the decision was an important step towards holding water companies to account and allowing millions of households to recover money they should never have been charged.
What are the claims about?
Under the UK’s water industry regulatory system, environmental performance is one of the factors taken into account when determining the prices companies are allowed to charge customers.
The proposed claims allege that the six water companies significantly underreported pollution incidents to regulators, including Ofwat.
The claims argue that, had pollution incidents been reported accurately, the companies would not have been permitted to charge such high prices for sewerage services.
The water companies deny the allegations.
Which water companies are involved?
The proposed claims relate to:
- Anglian Water
- Northumbrian Water
- Severn Trent
- Thames Water
- United Utilities
- Yorkshire Water
Each company faces a separate proposed claim covering different time periods.
Who could be affected?
The proposed claims could affect more than 20 million households across England.
If the claims succeed, eligible customers would automatically be included unless they chose to opt out.
What happens next?
The Supreme Court will now decide whether the proposed claims can go ahead. If it rules in favour of the appeal, the cases will continue through the courts.
While there is still a long way to go, the Supreme Court’s decision means the proposed claims remain very much alive and millions of households could eventually have the opportunity to seek compensation.
If you think you could be affected, you can check whether your water company is included and register for updates as the cases progress.
Join the Claim connects consumers with trusted, SRA-regulated law firms. For this claim, we’re not directly involved, but we’ll keep you informed. Where possible, we’ll share links to official claim websites or updates as they become available.
