20 July 2006
Under-fire water supplier Thames Water looks set to face further punishment after failing to meet customer service performance standards.
Regulator Ofwat has proposed to fine the company for missing targets set under the Guaranteed Standards Scheme (GSS).
Ofwat will determine the scale of the financial penalty when the full extent of the customer service failures and the company's response are known.
"From the evidence we have seen it is clear that Thames Water has failed to meet the GSS performance standards," said Philip Fletcher, chairman of the Water Services Regulation Authority.
"The failures were within the company's control, and some customers have not received the standard of service to which they are entitled. As a result customers' interests have been damaged."
News of the proposed fine comes after the water company has already been forced to make extra investments in pipe repair as a result of failing to meet leakage targets.
"It is extremely disappointing that we have had to take this action against Thames Water for its customer service failures, coming on top of the company's breach of its leakage target," added Mr Fletcher.
"This is a clear warning to Thames Water that it must be focused on delivering the services that customers have paid for."
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