South West Water's parent company Pennon Group PLC (LSE:PNN, OTC:PEGRY) navigated a series of widely publicised water offences in its Devon and Cornwall treatment areas in today's annual earnings report with a multimillion-pound dividend reduction. In March 2023, regulator Ofwat announced new powers to stop water companies from declaring dividends if they would risk the company's financial resilience.
South West Water owner Pennon has apologised for the outbreak of diarrhoea in Brixham, which has affected at least 22 people. Pennon chief executive Susan Davy said the company had “fallen significantly short”.