Decision Published on Northern Ireland Water’s Allowed Revenue for the PC21 Price Control Extension Year

Decision published on Northern Ireland Water’s allowed revenue for the PC21 Price Control extension year 21 August 2026 The Utility Regulator has published its decision on NI Water's allowed revenue and price limits for 2027/2028. The decision provides for total allowed revenue of £693 million (nominal) for 2027/2028 and an overall K-factor price limit adjustment of 3.4% in real terms (excluding inflation). NI Water's current price control, PC21, was originally due to run for six years from April 2021 to March 2027. However, PC21 has been extended by one year to provide stakeholders with additional time to prepare for the next price control. As a result, we are required to determine NI Water's allowed revenue and associated price limits for the extension year. On 16 June 2026, we published a consultation on our proposed allowed revenue for 2027/2028. The proposals were primarily based on a roll-forward of the allowance determined for the original final year of PC21 (2026/2027). We also proposed a number of targeted adjustments following discussions with NI Water. These adjustments primarily relate to the allowance for interest payments associated with NI Water's capital financing requirements. Consultation responses were received from both NI Water and the Consumer Council for Northern Ireland. Both respondents supported the proposed methodology and outcome. Having considered the consultation responses, we remain satisfied that the methodology set out in the consultation represents the most proportionate and appropriate basis for determining NI Water's allowed revenue and price limits for the extension year. The two consultation responses are available below: Northern Ireland Water Consumer Council for Northern Ireland Copies of all documents can be made available in large print, Braille, audio cassette and a variety of relevant minority languages if required.

Source: Original reporting via Northern Ireland Authority for Utility Regulation