Six of the UK’s largest water companies are facing legal action for allegedly under-reporting the scale of their sewage spills, which could result in them paying up to £510 million in damages.
These companies—Thames Water, Severn Trent Water, Northumbrian Water, United Utilities, Anglian Water, and Yorkshire Water—are accused of concealing their poor performance and overcharging customers, including businesses, charities, and local authorities.
The legal case, led by environmental consultant Professor Carolyn Roberts and law firm RPC, claims that the water companies have underreported the number of raw sewage spills discharged into UK seas and waterways.
By hiding the true extent of the pollution, these companies are believed to have overcharged their customers, as they were able to avoid penalties that would have been imposed had the true scale of their sewage spills been reported.
These water firms are under pressure from the regulator Ofwat, which monitors their performance based on the amount of sewage they release.
When companies fail to meet their targets, Ofwat restricts how much they can charge customers. However, the lawsuit claims that by failing to report their sewage spills accurately, these companies have illegally inflated the amounts charged to customers.
Data from the Environment Agency reveals that last year, the six firms involved in the case discharged sewage over 330,000 times, releasing untreated waste into waterways for a total of 2.4 million hours.
One of the worst-affected areas was along the River Severn, where numerous sewage spills occurred. The legal action follows growing public concern and reports of health risks, including contamination from E. coli and residents suffering illness after swimming in rivers.
Professor Roberts and RPC are also pursuing a separate case for overcharging 35 million household customers, which could lead to up to £1.5 billion in damages.
If both claims are successful, the total compensation to be paid by these water companies could reach £2 billion for 36 million customers. Those affected will be entitled to compensation unless they choose to opt out.
In the case of household customers, the compensation varies depending on the water company, with Northumbrian Water customers potentially receiving the highest payouts, up to £109.38 each. The estimated damages are as follows:
Thames Water: £159.1 million, £13.89 per customer
Anglian Water: £69.5 million, £14.45 per customer
Northumbrian Water: £225.1 million, £109.38 per customer
Yorkshire Water: £390.9 million, £101.59 per customer
United Utilities: £378 million, £66.98 per customer
Severn Trent: £322.5 million, £39.71 per customer
Public Outrage and Growing Support for the Legal Action
The lawsuit has sparked significant public outrage, as many people have reported incidents of flooding caused by sewage in their gardens, streets contaminated with E. coli, and health problems linked to swimming in affected rivers.
Professor Roberts has stated that the public overwhelmingly supports the move to hold water companies accountable for their actions, stressing that businesses, charities, and local authorities should not have to pay for sewage treatment when untreated wastewater is being discharged into the environment.
The legal actions come at a time when water bills are already set to rise, with Ofwat approving a 36% increase in water prices by 2030.
This means households across England and Wales will face an additional £31 on their annual water bill from April.
The compensation being sought in this case could provide some relief for financially vulnerable customers, but concerns remain about the ongoing issues with sewage pollution and the failure of water companies to invest in infrastructure to prevent further environmental damage.
Water UK, the representative body for water companies, has dismissed the legal claims as “highly speculative,” arguing that the regulator Ofwat has confirmed that more than 99% of sewage works comply with their legal requirements.
However, many affected customers and campaigners argue that this response is inadequate given the scale of the problem.
The Environment Agency and Ofwat have yet to comment on the ongoing legal proceedings. The Consumer Council for Water has also declined to provide any updates on the situation.
The legal actions continue, with many calling for stronger regulatory oversight and greater accountability in the UK water industry.