Sutton and East Surrey Water merger cleared by competition watchdog

The Competition and Markets Authority has cleared the merger of Sutton and East Surrey (SES) Water with South West Water.

Pennon Group, which owns Exeter-based South West Water, acquired the holding company of SES Water back in January after it was put up for sale last year.

Headquartered in Redhill, Surrey, SES Water supplies around 745,000 customers across East Surrey, West Sussex, West Kent and South London, employing 476 staff.

The acquisition follows Pennon’s purchase of Bournemouth Water in 2015 and Bristol Water in 2021 as the group looks to ramp up investment in its water business.

“SES Water is a fantastic growth opportunity for Pennon, demonstrating our commitment to the UK water industry”, said Susan Davy, group chief executive.

“As part of the Pennon Group, we’ll enhance SES Water’s financial resilience and better position the business to serve its customers and all stakeholders.

“Having submitted our biggest investment plan of £2.8 billion from 2025-30 to date, a plan which will create 2,000 new jobs and improve long-term water resilience, the acquisition of SES Water comes at a time of great promise for our business.

“I’m looking forward to this next exciting chapter in our development.”