United Utilities secures contract extension

United Utilities PLC

7 May 2008

                  UNITED UTILITIES SECURES CONTRACT EXTENSION                  

                      WITH SOUTHERN WATER THROUGH TO 2015                      

United Utilities PLC today announces that the 4D consortium, in which United
Utilities has a 40 per cent share, has secured an extension to its contract
with Southern Water through to 31 March 2015. The other members of the
consortium are Costain and MWH.

The original contract commenced in 2005 with responsibility for managing part
of Southern Water's regulatory capital investment programme through to 2010.
The total value of the original contract is worth around £700 million to the 4D
consortium, although clarity regarding the size and value of the 2010-15
contract can not be confirmed until the outcome of the forthcoming price review
is known.

Chief Executive of United Utilities, Philip Green, said:

"We are very pleased to have extended this contract through to 2015 in our key
market for utility outsourcing. It builds on our strong performance and further
supports our position as the leading utility infrastructure outsourcing company
in the UK."

United Utilities' contacts

For further information please contact:

Philip Green, Chief Executive                        [phone]     
                                                                             
Tim Weller, Chief Financial Officer                  [phone]     
                                                                             
Gaynor Kenyon, Communications Director               [phone]     
                                                                             
Darren Jameson, Head of Investor Relations           [phone]     
                                                                             
Dominic Fry / Tom Murray, Tulchan Communications     [phone]