Ofwat's revised licence proposals United Utilities

United Utilities Group PLC

21 December 2012

OFWAT PUBLISHES REVISED LICENCE PROPOSALS FOR UNITED UTILITIES

United Utilities Water PLC (UUW) is pleased to advise that it has today
received revised `Section 13' licence modification proposals from Ofwat. This
follows a period of constructive dialogue between Ofwat and UUW, along with the
wider water sector.

These revised licence proposals provide for the changes required to facilitate
the forthcoming price review in 2014 (PR14) and set a framework for progressive
evolution of regulation in the sector. In particular, these proposals focus on
the expected introduction of separate price controls at PR14 for the retail and
wholesale segments of the value chain. Any further changes necessary for
regulatory evolution which require licence amendment would be subject to
subsequent `Section 13' notices.

We welcome this progress, and the UUW Board has until 23 January 2013 to
respond to these revised licence modification proposals. 

United Utilities contacts:

Gaynor Kenyon, Corporate Affairs Director             [phone]  
                                                                           
Darren Jameson, Head of Investor Relations            [phone]  
                                                                           
Michelle Clarke, Tulchan Communications               [phone]