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The typical water bill will rise by an average of £86 from April for a year before easing, the industry regulator has said.
The steep rise is part of bill increases in England and Wales over the next five years to pay for supply upgrades and to reduce sewage discharges, Ofwat said.
The cost increases are higher than the regulator had proposed in July, but are lower than water companies had requested.
Water UK, the trade body for water firms, said the price increases would provide “much needed” investment for the sector.
Over the next five years, the average rise in bills will be £31 a year, but Ofwat said firms are expected to hike tariffs more in the first year.
However, the rises don’t include inflation, which means actual bills are likely to be higher.
Those rises are for water and wastewater firms. Water-only companies will raise bills by 22% to £234, Ofwat said.
The water industry has faced fierce criticism in recent years over leaks and sewage being pumped into rivers.
Some firms, including the UK’s largest supplier Thames Water, have financial problems, but there are also concerns some households will struggle to pay.
How much will my water bill rise?
Ofwat chief executive David Black said the investment would significantly cut sewage spills, reduce leaks and ensure customers get a better service.
Some £104bn can be spent on upgrading water systems, which will mean “cleaner rivers and seas and secure long-term drinking water supplies for customers”, he said.
Bill hikes vary by region. Southern Water customers will be hit by the biggest increase, with bills going up 53% – to £642 on average – by 2030.
The news comes as supplies to more than 58,000 Southern Water customers are currently disrupted.
Wessex and Northumbrian Water bills will rise by the smallest amount, 21%.
Thames Water, which is struggling under a huge debt pile, will be able to charge customers 35% more, with annual b
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