United Utilities profits hit by £25m after water bug

23 September 2015

spring-water Remember those parasites that were found in the water of the North West? No. We're not talking about the kind of people who go on Come Dine With Me, but actual parasites that make you have spectacular diarrhoea and stomach ache.

Hang on a minute, they still sound like the same thing.

Anyway, United Utilities have had to sort the cryptosporidium problem out after residents had to boil all their water in case it made them so ill that they could crap through a lace curtain.

And it has been a costly problem, with United Utilities saying that their profits are going to be hit by £25m, after they paid up compensation to up to 300,000 homeowners in Lancashire.

United Utilities said that the are "grateful" for the patience shown by customers, and they've started sending out compensation, which will see affected customers getting somewhere between £50 or £60.

In their trading update, they said: "We deployed extensive additional resources, including enhanced UV treatment, to restore the water quality to the high standards expected as quickly as possible, and full service was restored in early September. We recognise the inconvenience this placed on many of our customers and are very grateful for their patience and understanding."

It isn't quite over yet, as analysts have said that United Utilities could also get slapped with regulatory performance penalties, in addition to these costs.

TOPICS:   Utilities

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