Yorkshire Water is set to increase its household bills by 2% from April 1.

But the Bradford-based company said its bills would be the second-cheapest in England and Wales and that the extra money would be used to fund its planed £386m investment in its systems over the next 12 months.

From April 1, water and sewerage bills for household customers will rise by an average of 2.06% – equating to an annual rise of £8.

It means the average annual bill for the firm’s household customers will be £373, although the exact amount customers get billed will vary depending on if they have a meter or not.

The announcement came as Yorkshire Water said it plans to spend £386m this year on improvements as part of a wider £3.8bn investment programme covering 2015-2020. This will involve upgrading water treatment works, sewers and pumping stations.

Investment will also be made to conserve moorland, protect the environment from flooding, and improve rivers.

Richard Flint, chief executive of Yorkshire Water
Richard Flint, chief executive of Yorkshire Water

Yorkshire Water said that compared with other water and sewerage companies, it had the second-cheapest bills in England Wales – roughly £22 a year cheaper than the national average. The firm has also recently been recognised as having the second best customer service levels in the utilities sector.

Chief executive Richard Flint said: “We do all we can to keep our bills as low as possible whilst still delivering the service our customers want and expect.

“Despite the slight increase this year, our water and sewerage bills are still the second-cheapest on offer in England and Wales. We’ve also committed £7m to financially help those who need it most with their bills.

“The money we receive from customers’ bills is vital to enable us to fund our huge investment programme that will stand at £386m this year. This investment will help us manage and maintain our vast network of water pipes and sewers that the public rely on, whilst continuing to mitigate the impact of weather events such as extreme flooding and storms.”

Butterley Reservoir.

Among major schemes this year, Yorkshire Water is spending £5m on improvements at the spillway at Butterley reservoir in Marsden. It is also upgrading water treatment works in Sheffield and upgrading sewage treatment plans at Sheffield and Beverley.

It is also investing £6m to open up the region’s rivers to more fish at more than 20 sites across Yorkshire so fish, including salmon, can more easily travel up river to breeding spots.