Millions of households across England face steeper-than-expected water bills after the Competition and Markets Authority provisionally greenlit additional hikes for five major suppliers, adding fuel to public fury over rising costs and sewage scandals in the sector.

The CMA's Thursday ruling allows Anglian Water, Northumbrian Water, South East Water, Southern Water and Wessex Water to claw back £556 million more over five years—21% of their £2.7 billion ask—translating to an average 3% bump atop the 24% increases Ofwat had already approved for 2025-30.

Wessex customers, hit hardest, could see a 5% top-up, pushing average annual bills to £622, while South East and Southern face 4% and 3% extras, and Anglian with Northumbrian just 1%.

CMA panel chair Kirstin Baker stressed the balance: "We've found that water companies' requests for significant bill increases... are largely unjustified. We understand the real pressure on household budgets and have worked to keep increases to a minimum, while still ensuring there is funding to deliver essential improvements at reasonable cost."

The decision, provisional and open to challenge until November, stems from February appeals where firms argued Ofwat's caps starved infrastructure upgrades like pipes and storm drains amid climate pressures.

Ofwat, lambasted for years over lax enforcement on spills and dividends, faces abolition under Labour's summer blueprint for a tougher "super-regulator."

Crisis-plagued Thames Water, initially in the fray, pulled its bid amid ownership talks to avert collapse. Water UK, the industry voice, called the outcome a "necessary" £500 million-plus win for investment, but urged swift reform: "The system requires urgent reform... The country needs that to happen as soon as possible."

Water Minister Emma Hardy echoed household strains, vowing support for strugglers and tying funds to pipes, not perks: "I understand the public's anger over bill rises—that's why I expect every water company to offer proper support... We've made sure that investment cash goes into infrastructure upgrades, not bonuses."