all the water companies are monopolies.
That’s not entirely true.
Logistically, obviously you get your water from the local wholesale company. That makes sense to keep costs low. However, much like the electric and gas companies, the service can be delivered from anyone.
Right now, domestic customers get this service from the same local, wholesale company that does all the water related activity but if you use more than 5 megalitres a year, you can get the service from anyone who will offer it. You could have a business in Scotland who pays bills to a company in London.
It won’t be long before this limit drops to all customers. You could buy Tesco water no matter who the local wholesale company is. But your bill won’t change. Tesco water will still be regulated in the same way that South West Water is. There’s a cost to delivering water and there’s a cost to taking it away again. Make no mistake, the infrastructure that makes this happen is vast beyond most people’s comprehension and it all needs maintaining, rebuilding, improving and managing. Someone is going to have to pay for that.