South East Water Faces £22m Fine Over Supply Failures Affecting Kent And Sussex

South East Water could face a £22 million fine from regulator Ofwat following an investigation into supply disruptions that affected hundreds of thousands of customers in Kent and Sussex.

The regulator says failures between 2020 and 2023 meant the company struggled to cope during periods of high demand and extreme weather, leaving many households without running water.

According to Ofwat, more than 286,000 people were affected during the period covered by the investigation.

Some residents were left unable to wash, shower or flush toilets during the outages.

The watchdog found the company’s response to supply problems during those years was poorly organised and slow, with shortages of bottled water and limited support for vulnerable customers.

Investigators also concluded that the company had not planned effectively for major incidents, failed to learn lessons from previous events such as the severe cold weather in 2018, and had not carried out enough analysis to identify the root causes of repeated supply failures.

Ofwat also raised concerns about the maintenance of key infrastructure, including service reservoirs, boreholes and major pipelines.

It said these weaknesses made the network more vulnerable during prolonged dry spells or freeze-thaw weather events.

South East Water has responded by launching a judicial review challenge against the regulator’s draft decision.

The company also sought a court injunction to pause the process, but that request was rejected by the court.

The firm says it is now reviewing the draft findings before responding formally.

Consumer groups have warned the dispute could further damage public confidence in the company’s ability to provide a reliable water supply.

Meanwhile, Ofwat has also launched a separate investigation into more recent supply problems.

In December, up to 16,000 homes reportedly went without water for several days, while in January around 30,000 properties experienced supply issues.

As part of the latest probe, the regulator will examine whether South East Water met the customer service and support standards required under its operating licence.

If further breaches are found, the company could face additional penalties of up to 10% of its annual turnover.