If approved by regulator Ofwat, the investment would see 10 new reservoirs built, while £11bn would be spent on reducing overflow spills.
The investment would likely involve the use of the Direct Procurement for Customers (DPC) model to deliver a range of capital improvements, to ensure greater competition and reduce costs to water ratepayers.
Despite this, industry body Water UK warned that the proposed investment would likely result in the average water bill in England increasing from an additional £7 per month by 2025 compared with today, to an additional £13 per month in 2030.
“While increasing bills is never welcome, this investment in our country’s infrastructure is essential to ensure the security of our water supply,” said Water UK chief executive, David Henderson. “Ofwat now needs to back these plans that are both ambitious and vital.”