27th Jan 2015 07:43
LONDON (Alliance News) - United Utilities Group PLC Tuesday matched rival SSE PLC by saying it is targeting dividend growth of at least inflation as measured by the Retail Price Index in coming years, as it also accepted the price controls enforced the UK water regulator Ofwat.
In a statement, the utility company said its expected total dividend for its 2014/15 financial year us 37.7 pence, and it targeting growth of at least RPI inflation from that base each year through to 2019/20.
That matches rival SSE, which had said Monday it still expects to report an increase in the full-year dividend for 2014/15 that will at least be equal to RPI inflation, and is targeting the same level of increase in future years too.
United Utilities added that its Utilities Water Ltd subsidiary has also accepted Ofwat's final determination on price controls that will be in force between April 1 of this year and March 31, 2020.
"This determination delivers value for all of our stakeholders, with a strong focus on customer benefits, including reduced bills in 2015/16, alongside continued high levels of investment which will provide further environmental benefits and a significant contribution to the regional economy. Household customers are also set to benefit from below inflation growth in average bills for the decade through to 2020," it said.
By Steve McGrath; [email protected]; @stevemcgrath1
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