WATER bill reductions must be paid for out of bosses’ profits, not workers’ pockets, the GMB union warned today after Ofwat announced a £150 million cut in bills for domestic consumers.

The regulator said that 11 water companies have been fined for missing targets in areas such as water supply interruptions, pollution incidents and internal sewer flooding.

Thames Water and Southern Water performed the worst and will have to return a combined total of almost £80m to customers, Ofwat said.