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United Utilities rewarded £25m after hitting performance targets

Not one company achieved the regulator's top category of 'leading'

United Utilities is headquartered in Warrington(Image: Dominic Lipinski/PA Wire)

United Utilities has been rewarded £25m after meeting key targets on reducing pollution, leakage and supply interruptions.

The Warrington-headquartered business , which supplies the North West, received the money after regulator Ofwat judged the performance of water companies in England and Wales against the "stretching" targets it set in 2019 for a five-year period until 2025. If they fail to meet these, Ofwat restricts the amount of money they can take from customers.

Severn Trent Water also received £88m but other companies are to pay out £114m to bill-payers after failing to meet the targets.

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Not one company achieved the regulator's top category of "leading" while Dwr Cymru, Southern, Thames, Anglian, Bristol, South East and Yorkshire Water fell into the lowest category of "lagging" and the remaining 10 were rated "average".

Thames Water is the company which must return the most, more than £101m, followed by Southern Water which must pay out £43m. Ofwat said these figures are provisional until it completes the review process.

Since 2020, companies have shown improvements in reducing leakage and internal sewage, with all but one company achieving the target for unplanned outages, though progress has been too slow across the board, Ofwat said.