30/10/09
Ofwat has published its report on companies' Financial Performance and Expenditure for 2008-09.
Water companies in England and Wales invested £4.6 billion in 2008-09. This is equivalent to almost half their turnover, a massive continuing programme that is helping regional economies cope with the downturn.
At the same time, companies had to manage a sharp increase in energy costs – up an average 25% in the year, making energy 13% of all operating costs – and the effect of deflation, which reduced pre-tax profits by increasing the cost of debt in real terms.
All eyes are now on Ofwat. Will their final determinations on 26 November allow companies to continue to provide the investment needed to maintain the high quality, reliable services we all depend on?
Ofwat Report: Financial Performance and Expenditure for 2008-09
Contact: Rob Wesley
