One of the argurments in favour of privistaoistion is that it lowers prices. However, in England and Wales, where water utilities have been privatised since 1989, bills have been steadily rising. Under the latest deal stuck between the water companies and the regulator water bills are to rise by an average of 13 per cent over the next five years, from £249 to £282. A large proportion of this increase will be put on in the first year. Even with such a big rise the water companies were not satisfied, they had lobbied for twice this rate.