Severn Trent likely to be allowed to charge customers £60m extra

Severn Trent told investors it was the first water company to achieve a top rating from the Environment Agency for four consecutive years. Photograph: Bloomberg/Getty Images

Severn Trent may soon be able to charge almost 5 million customers an extra £60m in total on their water bills as a reward for exceeding its own customer service targets.

The water firm, which is listed on the FTSE 100, told investors on Wednesday that it was on track to get the multimillion-pound award this year through the water regulator’s incentive plan.