Big pubs face huge hikes in water bills

Bigger pubs and those that pay low business rates could see massive hikes in supplementary water bills.

However, pubs in high ratings bands could see a fall in the supplementary charge for drainage.

One supplier, United Utili-ties, which services 13,500 pubs and bars, is phasing in the new charging system over the next few years - and one host will see bills increase three-fold.

The changes follow recommendations from water regulator Ofwat about how the charge is calculated.

Traditionally, it has been based solely on rateable value.

In 2003, Ofwat said it was fairer to calculate the charge for businesses based on the size of the premises and other factors that impact on drainage, such as the presence of a car park.

This means small pubs with a high rateable value, such as those in city centres, are likely to see charges fall. But larger venues on lower rating bands can expect increases.

An Ofwat spokeswoman said a few water providers, including Severn Trent and Yorkshire Water, introduced the new charging system in the 1990s and others are now phasing them in.

Angry Cheshire licensee Steve Healy will see the supplementary charge from United Utilities rise £276 each year from 2008 until 2010.

Last year, he paid £453 - in 2010 he will pay £1,280.

"I'm getting annoyed at all these new charges," said the host of the Railway in Marple, Stockport, Manchester.

"I expect costs to go up, but this amount is ludicrous."

A spokesman for United Utilities, which supplies north-west England, said roughly half of its pub customers will see an increase in the charge and half will see

a fall.