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Background to charging

Every year we publish our charges scheme that sets out our charges and charging policy. Historically, there have been three ways that charges have been set:

Connection charges

  • These charges are cost reflective and our charging models are reviewed each year
  • They take account of contract rates, UU employee time and appropriate overheads
  • Each time Ofwat make a determination, we reflect on our charging methodology

Requisition charges

  • Our charges are site specific and are calculated based on our partner rates
  • Requisition charges may include an element of off-site

Infrastructure charges

  • An industry standard infrastructure charge for water and wastewater was set at £200 per service in April 1996 and has increased with RPI each year

In the future our charges will need to be set in a way that complies with a framework of charging rules and guidance, set by Ofwat which all water and wastewater companies will need to comply with.