Severn Trent encouraged by strong start to 2016

COVENTRY-based utility Severn Trent has said it continues to perform in line with expectations following a strong start to the New Year.

The water company, in a trading update for the nine-month period to December 31, 2015, said there had been no material change to the technical guidance for the full year.

However, it said it had benefited from the Outcome Delivery Incentives (ODI) for this financial year, which had increased to £15m.

Liv Garfield, chief executive, Severn Trent said: “We continue to invest in operational improvements to build a better business.

“I am delighted to see all this hard work is translating into a net ODI benefit, at this stage, of £15m for the full year.  Having locked in the savings set out in our Final Determination we are working hard to identify further efficiencies, while continuously improving our services, and will provide a further update with our results in May.

“There remains much to do, but this year is shaping up to be a great start to the current regulatory period.”
 
Severn Trent will announce its preliminary results for the year ending March 31, 2016 on May 24.