PENNON FINED £1.93M AFTER SOUTH WEST WATER PARASITE OUTBREAK

Pennon, the owner of South West Water, has been fined £1.93 million, including surcharges and costs, after being prosecuted for supplying water unfit for human consumption. The penalty follows a cryptosporidium outbreak in 2024 that contaminated the tap water supply in the Brixham area of Devon, causing widespread sickness across more than 16,000 homes. Pennon was prosecuted at Exeter Magistrates' Court earlier this month. Keith Haslett, who became chief executive of Pennon on 1 April, said the group "must learn lessons from this incident" and work to "rebuild trust" with customers and communities.

Pennon also reported a return to profitability in its annual results, posting pre-tax profits of £114.4 million for the year ending 31 March, reversing a £72.7 million loss recorded the previous year. The group also oversees SES Water, Bristol Water, and Bournemouth Water. Customer bills rose again in April as part of funding for the group's investment plans. Devon County Council is separately considering legal action against South West Water over persistent sewage spills and poor water quality across the county.

Devon County Council leader Julian Brazil told BBC Radio 4's Today programme that executives should face surcharges for poor performance on water supply and environmental standards. Haslett said Pennon could not comment on Devon Council's plans but that the group "fully respects the outcome of the legal process." He said water quality was "paramount" and that the group must supply wholesome drinking water to customers around the clock. Former chief executive Susan Davy earned £5.5 million during her tenure, which included the period when South West Water failed to inspect a reservoir valve for 13 years, allowing cryptosporidium to enter the water supply.