Anglian Water today announced it was cutting up to 400 posts over the next two years, the company said the redundancies were part of group restructuring in response to tougher competition and calls by the water regulator for cuts in bills.

The reorganisation would save it £40 million a year, it said.

Water watchdog Ofwat unveiled its latest price controls last month, calling for cuts of around £30 on domestic water bills.

Anglian has accepted the plans which will mean a ten per cent fall in customers' bills next year.

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