The UK government is proposing significant increases in compensation for customers of water companies that fail to meet service standards.

Under these new measures, consumers in England and Wales can expect their compensation for poor customer service from water suppliers to at least double.

This marks the first increase in compensation rates in nearly 25 years, reflecting a long-overdue need for updated regulations.

The proposed changes are currently under an eight-week consultation period and follow multiple high-profile incidents involving major water suppliers.

The scope of incidents that can trigger compensation payments will expand, including automatic payments during boil notices due to water quality issues.

Minimum compensation payments for highly disruptive incidents, such as water supply interruptions or missed appointments, will see significant increases.

Under the new proposals, minimum compensation payments for most failings will double to £40.

Serious issues like low water pressure could result in compensation of up to £250, while internal flooding damages will rise from £1,000 to £2,000.

Some customers could claim compensation amounting to at least a quarter of their annual water and sewerage bill, based on an average bill of £440.

Recent outages in Brixham and Bramley earlier this year would have automatically led to customer compensation under the new rules.

Environment Secretary Steve Reed criticized the water industry as 'broken' and emphasized the need for reforms to protect consumer interests and the environment.

Water UK has expressed support for the government's ambition to reform the compensation system while focusing on securing water supplies and reducing sewage in rivers.